KARACHI: Cotton prices have seen a significant drop across key markets in Punjab and Sindh due to ongoing fluctuations in both domestic and international demand and supply dynamics.
Data indicates that in Punjab, cotton prices declined by approximately Rs 1,000 per maund, bringing the current rates to around Rs 22,000 per maund. In Sindh, prices fell by about Rs 1,500 per maund, settling near Rs 21,000 per maund.
Industry analysts attribute this downward trend to continued volatility in global cotton markets, which directly influences local price movements in Pakistan.
Ihsan-ul-Haq, Chairman of the Cotton Ginners Forum, mentioned that several ginning factories have resumed operations, with eight active units in Punjab and five in Sindh. He called on the government to consider removing sales tax on the ginning sector in the upcoming federal budget to bolster the industry.
Market experts also pointed out that slight variations in cotton prices between Punjab and Sindh are due to differences in quality and regional demand.
Furthermore, analysts highlighted Pakistan’s status as the sixth-largest cotton producer globally and its substantial role in Asia’s textile industry, supporting thousands of ginning and spinning units that depend heavily on cotton supplies.
Climate change is increasingly impacting cotton cultivation, with rising temperatures and unpredictable weather patterns shortening growing seasons and causing pest outbreaks such as whitefly and pink bollworm. These challenges have led farmers to rely more on pesticides, raising production costs.
Overall, the recent decline in cotton prices reflects a combination of international market pressures and domestic supply chain issues, posing ongoing challenges for Pakistan’s agricultural sector.
