Page 64 - TEXtalks January/February 2022

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Reports Impact of high cotton

prices and sustainable

production challenges

Panel discussion at Inspiring Change Conference

Carlos Garcia. Plains Cotton Cooperative Association (PCCA), USA Shayyan Abdullah. Director. Sapphire Group Pakistan

Therefore, the viewers and stakeholders warmly in and replace cotton. Among these opportunists, Steven Dyer discussed that the world witnessed a near 90 cents, everybody was happy. Any price
welcomed the cotton panel discussion. man-made fibers are the most feared ones regarding decade of high cotton prices. However, he said that above $1 is not acceptable for a favorable business.
their environmental impact. Earlier in 2011-12, the scenario is not different from other commodities. Numerous factors influence the price fluctuations,
The panel included national and international nobody benefited from the situation when the prices The crude oil, energy, agricultural items, and other and it seems complicated that the prices will come
experts talking about cotton. Iqbal Khurram chaired were high. Therefore, the prices could be moderate, soft commodities are also getting expensive. Due to down soon.
the session, joined by other experts: Carlos Garcia, providing a platform for a win-win situation for the the COVID-19 pandemic, the gap between demand
John Cash King III, Steven Dyer, Shayyan Abdullah, textile sector and other stakeholders. Iqbal Khurram and supply triggered the cotton prices. The industry Asif Inam also agreed that the industry was not
and Asif Inam. agreed with the ideas of Carlos and said that when has been used to buying cotton for around 70 cents; happy with the increased cotton prices. For the textile
the market was in mid 90 cent range, the spinning however, the prices are expected to be higher in the spinners, not buying cotton was out of proposition.
Talking about the cotton market and future, Carlos industries enjoyed the perks, and now, increased near future due to the current inflammatory phase. As However, buying at such an elevated price was also
Garcia discussed the influence of cotton prices on cotton prices have reduced the profit margins across far as cotton demand is in the market, even the a risk. The retailers have already increased the price
Panel Discussion-1: Panelist while Asif Inam joined virtually Iqbal Khurram. CEO. YS Group - Nishat Chunnian, Pakistan the profitability of the textile industry's value chain. He the textile supply chain. higher prices are digestible. by 20-25% on different cotton products. The gap is
TEXtalks International organized the 4th Inspiring China and India), with thousands of ginning and said that when the cotton prices are below one dollar Shayyan Abdullah discussed the effect of higher being filled with using polyester, predominantly
recycled polyester. Though recycling polyester is a
Change Conference (ICC) 2021 on October 14, 2021, spinning units producing textile products from cotton. without the fear of significant fluctuations or volatility, John Cash indicated that everyone is worried about cotton prices on the spinning business. Cotton is the good thing, it can not be used as a green alternative
at Pearl Continent Hotel Lahore. Among various Cotton is the most important cash crop in Pakistan, the profitability of the textile industry, farmers, traders, the cotton prices. He said there has now been a spinning section's raw material. Higher prices could to cotton as it is still polyester associated with
panel discussions, the first panel discussion was and cotton products export accounts for 55% of all and brands remains feasible, which makes them gap between cotton and yarn prices, causing never be favorable for this sector as the spinning various drawbacks. Therefore, the cotton industry
themed on cotton. Pakistan is the fifth-largest foreign exchange earnings of the country. Nearly 26% prosper well. However, when the prices increase trouble. There have been energy cutoffs in China, sector cannot stock the appropriate quantity due to should reach out to different government
producer of cotton in the world. It also has the of Pakistani farmers grow cotton, and over 15% of the suddenly, the unsure situations rise, causing a India, and the UK, causing more concern with value fluctuations and limited funds. He also agreed organizations and stakeholders to discourage the
third-largest cotton spinning capacity in Asia (after total cultivated area is devoted to this crop. disturbance in demand and supply. Furthermore, the cotton prices. Furthermore, the logistic situation is with the point of Carlos that when the market was increasing polyester consumption in the textile
high prices also open doors for other fibers to come worsening the case.
January/February 2022 January/February 2022