Pakistan may need to import around seven million bales of cotton this year. The total production is estimated to be around five million bales or even less. At present, import agreements for about 5.5 million bales have been made.

Cotton prices continued to rise in the country’s domestic market during the past week. The price of quality cotton has further increased. However, domestic cotton stocks are decreasing day by day. The issue of letters of credit is ongoing due to the higher rate of the dollar as a result of which textile mills have to buy local cotton at high prices.

Due to floods and rains this year, the cotton crop, especially in Sindh, was damaged. Cotton production is a major concern for the country’s textile sector. Till January 31, 2023, cotton production in the country was 47,63,609 bales, which is 35 per cent less as compared to the same period last year.