KARACHI: The local cotton market remains stable, Cotton Analyst Naseem Usman told that market volume remains a little bit low.
ICE cotton futures fell more than 1% last week as investors booked profits ahead of the US Thanksgiving holiday after the natural fibber hit an 18-month high in the previous session.
Naseem Usman told that Karachi Cotton Association (KCA) is extremely perturbed over the drastic decline in cotton production from 15.0 million bales to 6.00 million bales, as reported, in the current cotton season 2020-21.
The KCA understands that decline in cotton production again in cotton season 2020-21 is mainly due to (i) reduction in yield per acre (ii) cultivation of sugarcane in the areas earmarked for cotton cultivation (iii) supply of uncertified Cotton Seed & Pesticides etc. Hence, there is a considerable gap in cotton production and local mills consumption.
The local textile industry is, therefore, compelled to import raw cotton from abroad to meet its requirement of basic/primary raw material and to ensure its contribution towards achieving the target of exports fixed by the Government through exports of valued added products as well as earning much needed foreign exchange for the country.
The KCA, therefore, urges upon the Government to declare emergency and evolve necessary Plan of Action on war. Cotton is seen to be the backbone of the exporting and related production industries like a textile in Pakistan.
The Better Cotton Initiative (BCI) says it provided training on more sustainable farming practices to more than 2.3 million cotton farmers in 23 countries during the 2018/19 cotton season. The government will make all-out efforts to promote the textile industry and increase exports. Faisalabad is not only the third largest city in Pakistan but also Manchester in terms of textile industry. Every effort will be made to alleviate the difficulties faced by the industry.
