Pakistan still faces a huge gap between domestic production and supply of cotton despite production rising significantly during the 2023-24 season.
Cotton arrivals at ginning factories increased by 1.1 per cent to 8.35 million bales compared to the same period last year. Both Punjab and Sindh contributed equally to the national output, with arrivals from Punjab increasing by 46.5 per cent Y-o-Y while those from Sindh rising by 119.8 per cent Y-o-Y.
Arrivals from Multan, Bahawalnagar, Sanghar, and Rahim Yar Khan topped during the period.
Pakistan’s cotton imports are expected to fall to 4.2 million bales during the 2023-24 season. On the other hand, exports of raw cotton and yarn grew with China being a major yarn buyer. Good local crop led to a rise in the government-support price at 8,700 per 40 kg during the period.
To bridge the gap between its demand and supply, Pakistan needs to either increase cotton production or reduce its textile industry's dependence on imports. It needs to introduce key measures to ensure fair prices to farmers and stablise cotton prices in the market. Pakistan also needs to continue focusing on value-added textile products and exploring new markets.
