KCA Chairman and Karachi Cotton Brokers Forum head Naseem Usman confirmed on Saturday that the association began reissuing the Daily Cotton Spot Rate on June 6, 2026, following a suspension that dated back to December 12, 2025, when the Evacuee Trust Property Board, acting in coordination with the Federal Investigation Agency, allegedly seized control of the Karachi Cotton Exchange Building.

The spot rate for the upcoming 2026–27 crop season will follow on Monday, June 8.

On the supply side, early signs of the new season are beginning to emerge. More than 15 ginning factories across Sindh and Punjab have partially reopened since Eid ul-Azha, accepting seed cotton at their gates and commencing limited ginning activity. These factories have already sold around 30,000 bales on various forward delivery dates at prices ranging from Rs. 20,500 to Rs. 22,500 per maund. The rate of Phutti per 40 kg is in between Rs. 10,500 and Rs. 11,500 per 40 kilograms.

Copyright Business Recorder, 2026

===========================================================================
The kca official spot rate for local dealings in Pakistan rupees
---------------------------------------------------------------------------
                     For base grade 3 staple length 1-1/16"
                    Micronaire value between 3.8 to 4.9 NCL
===========================================================================
Rate              Ex-gin   Upcountry   Spot rate    Spot rate    Difference
                    for      price     Ex-Karachi  ex. Khi. as   Ex-karachi
                                                   on 06-06-2026
===========================================================================
37.324 KG        21,000        280        21,280        —               NIL
Equivalent
40 KGS           22,506        300        22,806        —               NIL
===========================================================================

Copyright Business Recorder, 2026

The delegation, led by Kirmani, includes Parliamentary Secretary for Agriculture Usama Khan Laghari, Secretary Agriculture Punjab Iftikhar Ali Sahoo and other senior officials. During the visit, the delegation held meetings at the office of Primark Global Company to explore avenues for cooperation in the cotton sector.

Speaking on the occasion, Kirmani said the collaboration would focus on practical initiatives aimed at enhancing cotton quality and strengthening the province’s cotton value chain. He noted that Primark would play a significant role in supporting efforts to increase the production of high-quality cotton in Punjab.

Secretary Agriculture Punjab Iftikhar Ali Sahoo said that cooperation with Primark would contribute to the promotion of premium-quality cotton production and help improve the competitiveness of Punjab’s cotton sector.

The visit is part of the Punjab government’s broader efforts to seek international partnerships, modern agricultural practices and market-driven solutions to enhance productivity and sustainability in the province’s agriculture sector.

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In a letter addressed to Secretary Agriculture Punjab Iftikhar Ali Sahoo, APTMA Chairman Kamran Arshad stated that despite lower-than-expected acreage in several regions, crop conditions in many early and timely sown areas remain encouraging. Favorable weather, supportive temperatures, and good fruit setting are being observed in several fields, offering the potential for improved productivity if the crop is properly managed during the upcoming critical growth stages.

However, he warned that field observations have revealed a serious infestation of thrips in a large number of cotton fields across Punjab. In several cases, delayed pest management has already begun to adversely affect vegetative growth, fruit retention, and overall crop vigor.

Given the crop’s sensitivity at this stage, APTMA has emphasised the need for the Agriculture Department to intensify pest surveillance and provide timely, practical, and area-specific advisory guidelines to farmers. These should include recommendations on pest scouting, economic threshold levels, and effective management strategies for thrips and other emerging pests.

APTMA has requested the department to: (i) initiate and share regular weekly crop condition reports across all cotton-growing districts; (ii) provide updated district-wise and tehsil-wise sowing data and acreage statistics; (iii) share farmer-wise or cluster-wise sowing information, where available, to facilitate better industry coordination; (iv) develop and circulate realistic, scientifically-based cotton production forecasts for the 2026–27 season; (v) strengthen field advisory services and awareness campaigns, particularly for timely pest control measures; and (vi) share periodic updates on crop health, pest pressure, weather impact, and expected yield trends with relevant stakeholders, including the textile industry.

Arshad noted that the textile sector is closely monitoring the cotton situation, as Pakistan’s reliance on imported cotton has increased in recent years due to a persistent decline in domestic production.

He stressed that timely availability of reliable field data, acreage updates, and production forecasts would significantly support national planning, market stability, and industry preparedness.

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The decline has raised fresh concerns among growers, ginners, and industry stakeholders who are already grappling with a prolonged crisis in the cotton sector.

According to market sources, only around 15 ginning factories are expected to commence partial operations by June 15, reflecting the sluggish pace at which the new season is unfolding.

International markets have offered little comfort, as New York cotton futures have also recorded a notable decline, further dampening sentiment among domestic traders and exporters.

The persistent fall in local cotton production has left textile mills with no option but to turn increasingly to imported cotton to meet their raw material requirements, a trend that has placed additional strain on the country’s foreign exchange reserves. The growing dependence on imported cotton has also contributed to a steady rise in edible oil imports, compounding the economic burden on an already stressed trade balance.

Industry observers have pointed to a troubling pattern that repeats itself every year without fail. Before each new cotton season begins, widespread calls for the revival and restoration of the cotton industry are heard from all corners, yet once the season is underway, the same story of decline and neglect emerges.

What lies at the root of this recurring failure remains a question that neither policymakers nor industry leaders have been able to answer convincingly.

The Pakistan Cotton Ginners Association has formally petitioned the government to address the excessive and overlapping taxes imposed on ginning factories, warning that the financial burden is making it increasingly difficult for ginners to sustain their operations.

The association has urged the authorities to provide meaningful relief to the ginning sector, which plays a central role in the cotton supply chain.

Prominent industrialist Khurram Mukhtar has added his voice to the growing chorus of concern, calling on the government to abandon its current policy of targeting textile exporters through punitive measures.

He argued that such an approach is directly undermining Pakistan’s export competitiveness and warned that continued pressure on textile exporters would have long-term consequences for the country’s industrial base and foreign exchange earnings.

Experts have also drawn attention to a structural problem that has been quietly eroding cotton production for years. The establishment of sugar mills in regions that were traditionally dedicated to cotton cultivation has significantly reduced the area under cotton, as farmers shift toward sugarcane due to more attractive returns and guaranteed procurement.

Analysts have stressed that the government must take this issue seriously and intervene with a clear and coherent policy to protect cotton-growing areas and restore confidence among farmers before the damage becomes irreversible.

Following the Eid ul-Adha holidays, trading partially resumed in the local cotton market, where prices recorded a significant decline of Rs 1,500 per maund. Cotton was traded at Rs 21,600 per maund, compared to the previous rate of Rs 23,000 per maund.

Approximately 2,000 bales were traded at Rs 21,600 to Rs 21,800 per maund on the condition of delivery by June 3. In addition to cotton, Phutti prices also fell by approximately Rs 1,000 to Rs 1,500 per 40 kilograms, while Binola rates likewise experienced a decline.

According to market sources, around 10 ginning factories in Sindh province are expected to partially resume operations by June 15, signalling a gradual revival of cotton processing activity in the region.

The downward trend in cotton prices is not limited to the domestic market, as international cotton markets are also witnessing a similar decline. New York cotton futures have dropped to between 76 and 78 US cents per pound.

Textile mills have stated that the current price of cotton yarn justifies a cotton price in the range of Rs 18,500 to Rs 19,000 per maund. Based on this assessment, domestic cotton rates could potentially fall further to around Rs 20,000 per maund in the near future.

A persistent and alarming decline in cotton production has forced textile mills to rely heavily on imported cotton, while the import of edible oil has also increased as a consequence.

Every year, before the new cotton season begins, calls for cotton revival echo from all quarters, yet once the season unfolds, the crop’s deteriorating condition tells an entirely different story. The reasons behind this recurring failure remain difficult to comprehend.

The Pakistan Cotton Ginners Association (PCGA) has consistently raised its voice against the heavy burden of taxes imposed on ginning factories. This year as well, PCGA Chairman Sham Lal Manglani, along with his delegation, met with Finance Minister Muhammad Aurangzeb and formally requested a review of the taxes levied on ginners. It is hoped that the federal budget, scheduled to be presented on June 5, may include positive measures to address this longstanding concern.

In the province of Sindh, cotton prices for the new crop have seen a notable decline. Lint cotton is currently trading at Rs. 21,600 to Rs. 21,800 per maund, while Phutti prices have also dropped, now ranging between Rs. 10,500 and Rs. 11,000 per 40 kilograms. Banola prices have similarly witnessed a downward trend.

The Evacuee Trust Property Board (ETPB) has been in occupation of the Cotton Exchange building since December 12, 2025, with the assistance of the Federal Investigation Agency (FIA). As a direct consequence of this takeover, the critically important Daily Cotton Spot Rate has not been able to be issued, causing serious disruption to the cotton trade.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, stated that international cotton prices have witnessed a significant decline. New York cotton futures have dropped to a low of 75 to 76 US cents per pound, reflecting growing bearish pressure in global markets.

Adding to the industry’s woes, the government’s policies are being seen as detrimental to cotton cultivation. Sugar mills are being rapidly established in cotton-growing zones, particularly in Rahim Yar Khan, raising serious concerns among cotton stakeholders about the future of the crop in these regions.

Pakistan’s cotton production has already fallen to an alarmingly low level of 5.5 million bales, down from a previous figure of 1.5 million bales higher, marking a deeply worrying decline.

Farmers are increasingly abandoning cotton cultivation, opting instead to sow sugarcane, which is seen as a more profitable alternative under current conditions. Industry experts warn that if this trend continues unchecked, cotton output will decline even further, dealing a severe blow to Pakistan’s textile sector and overall agricultural economy.

As cotton production continues to fall across Pakistan, ginning factories are gradually shutting down. Cotton factories near major cities are being converted into residential plots, and agricultural land on the outskirts of urban areas is increasingly being taken over by housing societies.

According to ginners, soaring energy prices and an excessive tax burden imposed by the government on ginning factories have made it virtually impossible to keep operations running.

In a deeply troubling development, the Federal Investigation Agency (FIA) has illegally occupied the Cotton Exchange Building — a historic landmark of Pakistan’s cotton trade, established in 1936.

The Sindh High Court had explicitly barred FIA personnel from entering the premises until a court verdict is issued, yet in defiance of this judicial order, FIA officials broke into the offices of 320 registered cotton brokers, seized their property, and took unlawful possession of their workplaces. Such a blatant disregard for justice is virtually unheard of anywhere in the world.

The cotton brokers have been left utterly helpless — robbed of their livelihoods and denied even the right to grieve. They have no one to turn to for justice.

What is equally alarming is the silence of major industrial and trade bodies, including PCBA, PCGA, FPCCI, KCCI, and APTMA, all of which remain passive spectators in this crisis. Notably, several affected brokers from the Karachi Cotton Association (KCA) are registered members of both KCCI and FPCCI. Their members are suffering open injustice, yet these influential institutions have offered no support whatsoever. The question demands an answer: why? Someone must come forward to address this injustice.

Adding to the woes of the cotton sector, a building constructed in 1970 specifically for cotton research is now being converted into a gymnasium. Earlier, the historic PCRI Heritage building on Cones Road in Karachi a structure that predates the founding of Pakistan was demolished. KCA’s cotton warehouses were also forcibly seized at gunpoint, and in their place, the American Embassy was established, which now stands on what was once Mai Kolachi.

Furthermore, due to the government’s flawed policies, the textile sector — the country’s largest earner of foreign exchange and its biggest source of employment — is being pushed to the brink of collapse. According to APTMA, between 150 and 200 textile mills have already shut down, with several others on the verge of closure.

Meanwhile, Khurram Mukhtar, Patron-in-Chief of the Pakistan Textile Exporters Association, has warned that if the policy of targeting textile exporters is not reversed, the sector which plays a vital role in earning foreign exchange, generating employment, and contributing to economic stability will face complete destruction.

He noted that Pakistan’s textile sector possesses surplus industrial capacity, entrepreneurial strength, and the ability to access global markets, adding that if a supportive ecosystem is provided, exports could increase by four to five billion dollars in a short period of time.

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Global market pressures are compounding domestic difficulties. New York cotton futures have plunged to a critically low range of 77.78 to 80.50 US cents per pound, and analysts expect this international slump to drag local cotton prices further downward in the near term.

Adding to the sector’s woes, the government’s decision to permit sugar mills to operate within traditional cotton-growing zones has triggered strong opposition from cotton ginners, who warn that the move threatens to permanently displace cotton cultivation from its core agricultural belt.

On the policy front, a cotton revival roadmap approved by a committee headed by Deputy Prime Minister Ishaq Dar has made little progress, remaining effectively stalled despite formal approval. APTMA Chairman Kamran Arshad has written directly to the Prime Minister, urging the government to break the deadlock and translate policy commitments into concrete action. Industry veterans have pointed to a troubling pattern that repeats itself every season, where ambitious revival rhetoric gives way to deeper decline once the crop cycle begins, a contradiction they describe as both frustrating and difficult to explain.

In Islamabad, a high-level industry delegation led by PCGA Chairman Sham Lal Manglani and FPCCI President Atif Ikram Sheikh met Finance Minister Muhammad Aurangzeb to present the sector’s grievances. The delegation demanded the immediate removal of the 18 percent sales tax on cotton, cottonseed, and oil cake, cautioning that failure to act could put Pakistan’s ten billion dollar textile export industry at serious risk. The delegation also called for scrapping a proposed gymkhana club on land belonging to the Central Cotton Research Institute in Multan and demanded the recovery of the century-old Karachi Cotton Exchange building from what it termed the unlawful occupation of the Federal Investigation Agency. With domestic production under strain, industry experts warn that cotton imports are set to rise significantly, further straining the country’s foreign exchange reserves and weakening the competitive position of Pakistan’s textile sector.

The local cotton market is experiencing a sharp price surge as stocks have been nearly exhausted, plunging several textile mills into a state of acute crisis. With cotton supplies running critically low, many mills have been forced to increase their reliance on polyester as an alternative raw material. Mills that still retain cotton reserves, however, are capitalizing on the situation by selling yarn at premium prices.

Industry sources indicate that the new cotton season will require approximately two more months before it can operate at full capacity. While some ginning factories are expected to resume operations on early-picked cotton, production output will remain far too insufficient to meet industry demand. Experts anticipate that cotton prices will remain high in the early stages of the new season, with only a gradual decline expected over time.

Current market data reflects the severity of the supply crunch. Cotton is presently trading at 23,000 rupees per unit, while raw unginned cotton, locally known as phutti, is being sold between 11,500 and 12,000 rupees per 40 kilograms. Cottonseed, binola, has reached up to 5,000 rupees per maund. Textile mills report that cotton yarn prices have climbed to between 18,500 and 19,000 rupees.

The broader economic environment is compounding the industry’s difficulties. Textile mills are already struggling under the weight of prohibitively high energy costs, an overwhelming tax burden, and the looming threat of further interest rate hikes. Adding to these pressures, the International Monetary Fund has reportedly demanded that petroleum product levies be increased to as high as 17.7 billion rupees, a figure confirmed by the Prime Minister himself.

Industry stakeholders are now openly questioning how textile mills can sustain operations under such conditions. Mills holding stocks of imported cotton may weather the current storm with relative stability, but the outlook for the remaining mills is bleak, raising serious concerns about the long-term viability of the sector.

Pakistan’s cotton sector continues to face deep-rooted structural challenges as the annual cycle of revival promises gives way to yet another season of stagnation and decline. Industry observers note that each year, ahead of the new cotton season, widespread calls for the crop’s restoration dominate public discourse, only to be followed by the same pattern of underperformance and neglect, a contradiction that remains largely unexplained.

A significant driver of cotton’s declining footprint is the steadily growing influence of the sugar mafia, which has been systematically converting cotton-growing land to sugarcane cultivation. Farmers across the cotton belt are increasingly abandoning the white crop in favour of sugarcane, citing stronger market returns as the primary motivation. The trend has accelerated in recent seasons, with sugarcane gradually consuming the acreage traditionally reserved for cotton.

Adding to the sector’s woes is an ongoing legal and administrative dispute surrounding the Karachi Cotton Exchange building. The Federal Investigation Agency, reportedly acting in coordination with the Evacuee Trust Property Board, has allegedly occupied the KCE premises without lawful authority for the past six months. With the case still actively being heard before the Sindh High Court and no verdict yet delivered, the occupation remains legally unresolved. The fallout has been immediate and damaging. The daily cotton spot rate, a market-critical indicator relied upon by traders, ginners and farmers alike, has been suspended throughout this period, leaving the industry without a key pricing benchmark.

On the trading floor, cotton supplies in Sindh remain thin, with the available stock changing hands at Rs. 22,000 to Rs. 23,000 per maund depending on quality and payment terms. New season transactions have already been reported at Rs. 23,000 per maund.

Phutti of 40 kilograms is fetching Rs. 11,500 to Rs. 12,000, while Banola is trading at Rs. 4,500 to Rs. 5,000 per maund.

Karachi Cotton Brokers Forum Chairman Naseem Usman noted that international cotton prices remain volatile amid persisting Middle East tensions and have declined sharply to trade between 78 and 80 US cents per pound.

According to the latest weekly export and sales report from the United States Department of Agriculture, total sales for the 2025–26 marketing year stood at 131,800 bales. Pakistan led all purchasing nations with 65,300 bales, followed by Vietnam at 26,100 bales and Turkey at 20,100 bales.

For the 2026–27 marketing year, forward sales reached 216,000 bales in total, with Pakistan dominating purchases by securing 206,100 bales. Indonesia and Turkey each purchased 4,500 bales, placing them second and third respectively. Total exports during the reporting period amounted to 289,400 bales, with Vietnam absorbing the largest share at 110,800 bales. Turkey followed with imports of 28,700 bales, while Pakistan received 26,000 bales to rank third among importing nations.

The government’s approval of a new sugar mill in Rahim Yar Khan has sparked strong opposition from the Pakistan Cotton Ginners Association (PCGA), which has condemned the decision as a direct threat to the country’s cotton industry.

In a strongly worded letter addressed to the President, Prime Minister, Chairman Senate, Chief Minister, and federal and provincial ministers and officials, the PCGA warned that permitting a sugar mill in Rahim Yar Khan is tantamount to issuing a death warrant for cotton cultivation in the region.

The Senate Standing Committee took up the matter and convened a briefing, where former PCGA Chairman Sohail Mahmood Haral testified that the decision would spell the end of the cotton crop in the area. He pointed out that a previously established sugar mill in Rahim Yar Khan had already resulted in a fifty percent decline in cotton cultivation, and cautioned that allowing another such facility in the core cotton belt would constitute national suicide.

Haral called on the government to impose a complete ban on the establishment of new sugar mills in the core cotton zones of Rahim Yar Khan, Bahawalpur, Bahawalnagar, and Lodhran, urging that these districts be officially designated as no-sugar zones. He also highlighted the stark economic contrast between the two crops, noting that cotton generates one hundred and fifty dollars per acre for the national economy, compared to only fifty dollars per acre from sugarcane. The Senate Standing Committee has directed authorities to submit a report within fifteen days.

Industry observers have raised broader concerns about the government’s decision-making process, questioning why key stakeholders are consistently left out of consultations before major policy decisions are made. With the cotton crisis already worsening, critics warn that prioritising sugar mill expansion over cotton revival will deepen the economic challenges facing the agricultural sector rather than resolve them.

Pakistan’s powerful textile industry has launched a multi-front offensive against what it describes as systemic government failures, raising urgent concerns over cargo clearance bottlenecks at major ports, the collapse of a high-level cotton revival programme, the misappropriation of critical research land, and a looming billion-dollar cotton import bill that threatens to further destabilise the country’s already fragile foreign exchange reserves.

The All Pakistan Textile Mills Association has written directly to Prime Minister Shehbaz Sharif, demanding immediate intervention to stop what it calls irreversible financial damage caused by prolonged cargo clearance delays at Pakistani ports.

In the letter, APTMA Chairman Kamran Arshad acknowledged the government’s broader efforts to facilitate trade and promote industrial growth but warned that a deeply serious problem continues to devastate importers, exporters, and the wider business community. Commercial consignments, the letter explained, are routinely held up at ports due to policy decisions, regulatory complications, and administrative delays, after which port authorities and shipping lines impose heavy demurrage and detention charges on traders who bear no responsibility for those delays.

Copyright Business Recorder, 2026

According to official figures, the department had set a target to cultivate cotton over 775,000 acres in Multan division and more than 425,000 acres in Dera Ghazi Khan Division. The progress was reviewed during a meeting on cotton sowing held in Multan under the chairmanship of Secretary Agriculture Punjab, Iftikhar Ali Sahoo.

The meeting was attended by Commissioner Multan Aamir Karim Khan, Special Secretary Agriculture South Punjab Sarfraz Hussain Magsi, Director Generals Agriculture Punjab Abdul Hameed, Naveed Asmat Kahloon and Dr Aamir Rasool, along with officers of the Irrigation Department, Dr Muhammad Iqbal Bandesha, Asif Majeed, Khalid Mahmood Khokhar, Muhammad Ilyas and other stakeholders.

Commissioner Dera Ghazi Khan Chaudhry Ashfaq Ahmed and deputy commissioners of the relevant districts also joined the meeting online. Addressing the participants, the Secretary Agriculture said enhanced cotton production was the guarantee of farmers’ prosperity. He appreciated the cooperation extended by divisional and district administrations in achieving cotton cultivation targets.

He directed field formations to fully utilise their professional capabilities in guiding farmers so that production targets could be achieved successfully. Sahoo further said that the availability of fertilisers at officially notified prices in markets was being ensured, while indiscriminate action against those involved in the adulteration of agricultural pesticides was continuing across the province.

He added that, in consultation with experts and keeping in view the prevailing weather conditions, a fresh cotton advisory would soon be issued to provide timely guidance to farmers.

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Price signals from the field reflect the season’s early momentum. New crop seed cotton, locally known as phutti, has fetched between Rs 10,000 and Rs 11,500 per 40 kilograms, while ginned cotton has been changing hands at Rs 21,750 to Rs 22,000 per maund. Traders and market observers attribute the upward pressure on cotton prices to the earlier onset of the new season, which has tightened near-term supply expectations and lifted sentiment across the cotton value chain.

However, the international price environment presents a contrasting picture. New York cotton futures, after experiencing sharp swings, recorded a notable decline of eight cents, a development that could temper enthusiasm in export-oriented segments of Pakistan’s textile sector if the trend persists.

On the policy front, the textile and apparel industry moved swiftly to engage the government ahead of the federal budget. A high-level delegation from the sector met with the Finance Minister and presented a detailed set of recommendations aimed at securing fiscal relief and boosting export competitiveness. The meeting underscores growing industry concern over cost pressures and the need for a supportive budgetary framework.

In a parallel development, the All Pakistan Textile Mills Association, APTMA, has mounted strong opposition to the Punjab Infrastructure Development Cess Amendment Bill 2026, arguing that the proposed levy would impose an additional financial burden on an industry already contending with elevated input costs. APTMA has warned that such a measure could undermine the competitiveness of Pakistani textiles in global markets at a time when the sector can least afford further cost escalation.

Adding weight to the industry’s concerns, APTMA Chairman Mian Kamran Arshad has written a formal letter to Federal Minister Rana Tanveer Hussain, urging the government to give cotton the policy attention it deserves as the country’s foremost foreign exchange-earning crop. In his communication, the chairman stressed that without deliberate and sustained government support for cotton cultivation and its downstream industrial use, Pakistan risks squandering one of its most valuable economic assets.

The local cotton market experienced an overall bullish trend during the past week, even as available stocks have shrunk to critically low levels. Currently, only approximately 20,000 bales remain in stock, making supply extremely tight across the market.

In a modest sign of seasonal activity, early-picked cotton from the new 2026-27 crop has begun arriving in partial quantities. However, full-scale ginning operations are not expected to resume until at least June 15, when some factories may begin working on a partial basis.

Prior to Eid ul-Adha, only two ginning factories one located in Burewala and another in Khanewal are anticipated to produce two to three lots each from the early-harvested cotton.

In terms of current pricing, early-picked Phutti is being traded at Rs. 10,000 to Rs. 11,600 per 40 kilograms, while processed cotton is fetching Rs. 21,250 to Rs. 22,000 per maund. In the province of Sindh, one or two ginning factories in Sanghar are also expected to resume limited operations in the near future.

On the policy front, the government has this year imposed a 0.9 percent Cess Tax on cotton transported from Sindh and Balochistan to Punjab, adding to the financial burden on the supply chain. Compounding the situation further, a sharp rise in energy, petrol, and diesel prices is expected to drive transportation costs significantly higher. As a result, textile mills in Punjab will likely be forced to pay considerably more for cotton sourced from Sindh, particularly during the early weeks of the season when a substantial volume of cotton traditionally moves from Sindh to Punjab’s mills.

Textile mill owners, meanwhile, have expressed concern over the sustainability of rising cotton prices. According to them, given the prevailing conditions in the cotton yarn market, a price of Rs. 18,000 to Rs. 18,500 per maund represents the maximum viable range, and any purchase above this threshold would translate into financial losses. This sentiment suggests that cotton prices may not climb steeply at the outset of the new season. However, market participants acknowledge that a significant rally in New York cotton futures could alter the outlook and shift market dynamics considerably.

The affectees of the Karachi Cotton Exchange Building have raised serious questions over the lack of a strong collective response to the occupation of the historic exchange building by the Federal Investigation Agency with the assistance of the Evacuee Trust Property Board. They noted that the Karachi Cotton Exchange, which was established even before the creation of Pakistan, holds immense historical significance, yet its seizure has failed to generate the level of protest that similar incidents have provoked elsewhere.

The affectees drew a sharp comparison with the situation in Multan, where all cotton-related institutions had jointly and forcefully opposed an attempt to hand over land belonging to the Cotton Crop Research Institute to the Multan Gymkhana. That unified resistance compelled the government to reverse its decision. The affectees questioned why an equally vigorous campaign had not been launched to protect the Karachi Cotton Exchange building, urging all stakeholders in the cotton industry to take immediate and decisive action.

They further noted that a case concerning the building is currently pending before the Sindh High Court and stressed that a well-organised and effective campaign must be launched without further delay to safeguard this historic institution.

On the domestic market front, cotton prices across Sindh and Punjab are currently ranging between 20,000 and 23,000 rupees per maund, varying according to quality and payment conditions.

Meanwhile, Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, reported that after a recent uptick in international cotton prices, New York cotton futures retreated by eight American cents per pound. According to the weekly export and sales report released by the United States Department of Agriculture, total sales for the marketing year 2025–26 stood at 47,700 bales. Vietnam emerged as the leading buyer, purchasing 31,800 bales, followed by Indonesia in second place with 4,100 bales. Turkey and Pakistan both purchased 2,700 bales each, placing them in third and fourth positions respectively.

For the upcoming marketing year 2026–27, total sales were recorded at 29,700 bales. Vietnam once again led all purchasing nations with 31,800 bales, while Mexico ranked second with 8,800 bales and Bangladesh came in third with 4,400 bales.

Pakistan’s cotton sector has scripted history by commencing its ginning season during the second week of May for the very first time, marking a significant milestone in the country’s agricultural calendar. With cotton arrivals already underway in both Punjab and Sindh, prices of seed cotton and lint have registered an extraordinary surge right from the opening days of the season, signalling a buoyant market outlook for the months ahead.

On the ground, the early momentum is clearly visible. Following the partial harvesting of cotton in the coastal belt of Sindh, four ginning factories in Khanewal and one in Burewala have commenced processing operations over the past two days. Ginners based in Punjab have simultaneously begun procuring cotton from regions where early sowing was undertaken on a considerably larger scale this February compared to previous years. In Sanghar and Tando Adam, one ginning factory each has also initiated cotton procurement, with expectations that both will be running at full capacity within the coming days.

Cotton Ginners Forum Chairman Ihsan ul Haq confirmed that prices have climbed sharply from the very start of the new season. Initial transactions for seed cotton were recorded between Rs10,000 and Rs10,500 per 40 kilograms, while advance deals for lint were settled at around Rs21,700 per maund. The market has since moved higher, with seed cotton deals now being finalized at up to Rs11,600 per 40 kilograms and lint prices reaching Rs22,500 per maund. Several market sources have indicated that lint transactions are also taking place at Rs23,000 per maund, with some reports placing deals as high as Rs23,500 per maund, a development that has further strengthened expectations of a sustained upward trend in prices.

Haq also noted that the historically early start to the ginning season would prove beneficial for textile mills, which have been grappling with limited lint availability. Fresh supplies entering the market ahead of schedule are expected to ease the supply crunch before it deepens further. To put this development in perspective, Pakistan’s cotton ginning season has traditionally commenced in June. The cotton year 2025–26 had itself been considered a landmark, as the season opened in the third week of May. This year, however, the season has begun a full week earlier still, entering territory that has no precedent in the country’s cotton history.

Against this backdrop of record early activity, the industry is simultaneously pressing the government for structural reforms it says are long overdue. All Pakistan Textile Mills Association Chairman Kamran Arshad has addressed a strongly worded letter to Federal Minister for Food Security Rana Tanvir Hussain, demanding the immediate implementation of decisions already approved by the Cabinet Committee on cotton rehabilitation. The letter cautions that continued inaction and delays by the relevant authorities are inflicting measurable damage on the national economy.

Among the key demands outlined in the letter is a fundamental governance overhaul, specifically the dissolution of the Pakistan Central Cotton Committee and its replacement with an industry-led Pakistan Cotton Advisory Council. APTMA is also calling for the transfer of cotton cess collection to the Federal Board of Revenue to ensure greater transparency and accountability. The association further demands that 70 percent of the funds generated through cess be exclusively directed toward cotton research and development, and that the new institutional structure meaningfully incorporate the provinces, farmers, research bodies, and the seed sector as stakeholders.

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Market experts warn that available cotton stocks have reached critically low levels, creating a severe imbalance between supply and demand that continues to destabilise the market.

Forward trading activity for the new crop has begun to gain momentum, with partial deals for early-arriving cotton now being finalized. The forward contract price for deliveries scheduled between May 20 and May 30 has been settled at Rs. 21,750 per maund, while seed cotton is trading at Rs. 10,000 per forty kilograms.

Cotton farmers across the country are in a state of growing distress as production continues its prolonged downward spiral. Adding to their concerns is the rapid encroachment of sugar mills into areas that have historically been the heartland of cotton cultivation. Experts warn that this trend will cause irreversible damage to an already struggling crop. Fields that once bore the country’s prized white gold now stand occupied by sugarcane plantations, raising urgent questions not just about agricultural choices but about the direction of the nation’s economic priorities.

Rana Shafqat, Chairman of the Pakistan Cotton Brokers Association, threw his full weight behind APTMA’s position on the matter. “APTMA’s demands are completely justified and we stand firmly with them,” he said, adding that the revival of cotton is inseparable from the broader economic revival of Pakistan itself.

APTMA Chairman Kamran Arshad has formally called upon Federal Minister Rana Tanvir Hussain to ensure immediate implementation of decisions that were already approved by the Cabinet Committee for cotton sector restoration. Arshad cautioned that prolonged negligence and administrative delays are inflicting measurable harm on the national economy and that the situation has reached a point where further inaction is no longer acceptable.

The contrast with regional competitor India could not be more striking. The Indian Cabinet has approved an allocation of Rs. 5,669 crore specifically aimed at boosting domestic cotton production.

Separately, it has earmarked Rs. 1,768.56 crore for the Cotton Corporation of India to purchase cotton directly from farmers at the government-mandated minimum support price, offering them a vital financial safety net.

Pakistan, by comparison, has yet to move beyond promises. While India backs its cotton farmers with billions in state funding, Pakistan continues to allow sugar mills to be established on land traditionally reserved for cotton, a move widely seen as a betrayal of the sector and a serious threat to the country’s long-term economic stability.

The local cotton market recorded an overall bullish trend during the past week as stocks continued to remain scarce. Early arrivals of the new crop are expected from June, though initial prices are likely to be on the higher side. Cotton is currently trading between Rs 19,500 and Rs 23,000 per maund, depending on quality and payment conditions.

Future contracts for new crop cotton have been settled at Rs 21,750 per maund, while 40-kilogram Phutti has been sold at Rs 10,000 with deliveries scheduled between May 20 and 30.

On the policy front, recommendations have been forwarded to the government for the upcoming budget, urging a reduction and elimination of taxes on the cotton sector. APTMA has also submitted its budget proposals, and industry stakeholders expect the Karachi Cotton Association to follow suit with its own annual recommendations, as has been the tradition in previous years.

Cotton growers and trade participants have long been voicing alarm over the unrelenting decline in cotton production. A growing concern is the rapid installation of sugar mills in traditional cotton-growing regions, which is progressively squeezing out cotton cultivation. What was once Pakistan’s white gold is now being described as a crop increasingly alienated from its own land. Fields that once shimmered with cotton are today carpeted with sugarcane. Industry voices are clear that this is not simply an agricultural shift but a question of national priorities.

Cotton, they stress, sustains an entire ecosystem of livelihoods, binding together farmers, ginners, textile manufacturers, and exporters into a chain that supports millions of workers. Sugarcane, by contrast, is widely regarded as an industry concentrated in the hands of a powerful few, with its economic benefits rarely trickling down to those at the grassroots. When policymakers allow powerful interests to dictate agricultural direction, it is the smallholder farmer who ultimately pays the price, not just with a lost harvest but with a diminished future. Should white gold vanish from Pakistani fields, the loss would extend far beyond agriculture, taking with it an economy, a national identity, and the aspirations of countless families.

The crisis is further deepened by an excessive tax burden on the textile sector and energy costs that remain the highest in the region. These compounding pressures have forced textile mills into closure at an alarming rate over recent years. According to APTMA, more than 150 textile mills across the country have already shut down, while several others are barely managing to survive under acute financial distress.

Adding to the industry’s woes, the Evacuee Trust Property Board has been in occupation of the Cotton Exchange Building since December 12, 2025, having taken control with the assistance of the FIA. The occupation has rendered it impossible to issue the daily cotton spot rate, a publication that serves as a vital reference point for the entire trade.

Cotton availability in both Sindh and Punjab remains extremely thin, with prices continuing to hover between Rs 19,500 and Rs 23,000 per maund, subject to quality and prevailing payment terms.

International cotton prices continued their upward trajectory, with New York cotton futures hovering between 82 and 85 US cents per pound, according to Naseem Usman, Chairman of the Karachi Cotton Brokers Forum.

The USDA’s weekly export and sales report revealed that 123,300 bales were sold for the 2025-26 marketing year, with Pakistan emerging as the top buyer, securing 38,800 bales. India followed in second place with purchases of 27,200 bales, while Vietnam rounded out the top three with 18,800 bales.

For the upcoming 2026-27 marketing year, sales reached 48,400 bales. Guatemala led the pack by purchasing 35,200 bales, with Indonesia ranking second at 19,000 bales and Vietnam placing third with 5,800 bales.

On the shipments front, total exports amounted to 327,500 bales during the reported period. Vietnam dominated as the largest importer, receiving 135,000 bales, while Bangladesh and Pakistan trailed closely behind with 29,600 and 29,100 bales respectively.

The All Pakistan Textile Mills Association (APTMA) has sought the intervention of Minister for National Food Security and Research Rana Tanveer Hussain for the revival and implementation of key decisions related to the cotton sector.

In a letter to the minister, APTMA Chairman Kamran Arshad drew attention to the approved minutes of the 6th meeting of the Cabinet Committee on Essential/Cash Crops, held under the chairmanship of the deputy prime minister.

He highlighted several time-bound priority decisions that require urgent action by the ministry, including: (i) establishment of an industry-led governance structure through the transformation of the Pakistan Central Cotton Committee (PCCC) into the Pakistan Cotton Advisory Council (PCAC); (ii) collection of cotton cess through the Federal Board of Revenue (FBR); (iii) allocation of 70 percent of cess funds exclusively for cotton research and development (R&D); and (iv) inclusion of provinces, research institutions, farmers, and the seed sector in the new institutional framework.

“Since the Cabinet Committee meeting, the APTMA has repeatedly urged the ministry to ensure swift implementation of all decisions made with the consensus of stakeholders. However, it is regrettable that no concrete measures have yet been initiated by the concerned authorities despite the passage of considerable time and repeated reminders,” the APTMA chairman stated.

He warned that the inordinate delay in implementation is fraught with significant national loss, particularly as the cotton sowing season has already commenced in various parts of the country.

According to him, continued inaction by the Ministry could further accelerate the persistent decline in cotton production, leading to increased imports and putting additional pressure on the country’s valuable foreign exchange reserves.

In view of the foregoing, APTMA has called for immediate action on the following measures: (i) issuance of a notification for the operationalisation of PCAC; (ii) necessary legal amendments to enable the collection of cess through FBR; (iii) allocation of 70 percent of cess funds for R&D; (iv) establishment of the approved industry-led governance structure; and (v) sharing of a time-bound implementation plan with the APTMA.

The textile industry, he noted, has consistently demonstrated its commitment to supporting national cotton revival efforts. However, without urgent and decisive policy and institutional actions, the agreed strategy cannot translate into tangible outcomes.

He urged the minister to personally intervene to ensure immediate progress on these decisions in order to safeguard the cotton crop and the cotton-based industry, which provides employment to millions across the country.

Rana Shafqat, Chairman of the Pakistan Cotton Brokers Association, has emphasized that the revival of the cotton sector is inseparable from the revival of the Pakistani economy, warning that any negligence in this regard will have serious consequences for the country’s overall economic health.

Expressing his full support for a recent letter written by APTMA Chairman Mian Arshad Kamran to Federal Minister for Food Security Rana Tanveer Hussain, Rana Shafqat urged the government to move swiftly on implementing decisions that were taken under the chairmanship of Deputy Prime Minister Ishaq Dar concerning the Cotton Revival Programme.

Rana Shafqat further appealed to the Federal Minister for Food Security to take immediate and concrete action, pointing out that the cotton sowing season is currently in full swing across the country. He noted that 30 percent of Punjab’s provincial sowing target has already been completed, stressing that the remaining window of opportunity must not be wasted. He called on authorities to accelerate measures for cotton revival without further delay, underlining that timely intervention is critical to ensuring a successful crop season and broader economic stability.

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Director CCRI Sabahat Hussain said the early-sown cotton crop had now reached 60 to 70 days of age and required immediate management interventions to reduce heat stress and ensure healthy crop growth.

She advised farmers to apply a foliar spray comprising 300 grams of Potassium Sulphate, 250 grams of Zinc Sulphate and 250 grams of Borax mixed in 100 litres of water per acre. The ingredients should first be dissolved separately and then mixed together before spraying. For improved results, the spray application should be repeated after 15 days.

She further recommended light irrigation during the heatwave period, preferably during the cooler morning or evening hours, to minimise water loss and reduce stress on the crop.

According to the CCRI director, the early cotton crop has entered the flowering and boll formation stage therefore farmers should apply one bag of urea per acre to support proper plant growth and development.

She also warned growers to immediately destroy spindle-shaped flowers showing signs of bollworm attack to prevent the spread of infestation at the initial stage. In addition, she advised installation of recommended pheromone traps in fields at the earliest possible stage and urged farmers to conduct pest scouting at least twice a week.

Sabahat Hussain emphasised that timely agronomic management and continuous crop monitoring during the ongoing heatwave could significantly help in protecting the cotton crop from potential losses.

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In a letter to the minister, APTMA Chairman Kamran Arshad drew attention to the approved minutes of the 6th meeting of the Cabinet Committee on Essential/Cash Crops, held under the chairmanship of the deputy prime minister.

He highlighted several time-bound priority decisions that require urgent action by the ministry, including: (i) establishment of an industry-led governance structure through the transformation of the Pakistan Central Cotton Committee (PCCC) into the Pakistan Cotton Advisory Council (PCAC); (ii) collection of cotton cess through the Federal Board of Revenue (FBR); (iii) allocation of 70 percent of cess funds exclusively for cotton research and development (R&D); and (iv) inclusion of provinces, research institutions, farmers, and the seed sector in the new institutional framework.

READ MORE: APTMA Cotton Revival Plan: Agri dept delegation visits APTMA

“Since the Cabinet Committee meeting, the APTMA has repeatedly urged the ministry to ensure swift implementation of all decisions made with the consensus of stakeholders.

However, it is regrettable that no concrete measures have yet been initiated by the concerned authorities despite the passage of considerable time and repeated reminders,” the APTMA chairman stated.

He warned that the inordinate delay in implementation is fraught with significant national loss, particularly as the cotton sowing season has already commenced in various parts of the country.

According to him, continued inaction by the Ministry could further accelerate the persistent decline in cotton production, leading to increased imports and putting additional pressure on the country’s valuable foreign exchange reserves.

In view of the foregoing, APTMA has called for immediate action on the following measures: (i) issuance of a notification for the operationalisation of PCAC; (ii) necessary legal amendments to enable the collection of cess through FBR; (iii) allocation of 70 percent of cess funds for R&D; (iv) establishment of the approved industry-led governance structure; and (v) sharing of a time-bound implementation plan with the APTMA.

The textile industry, he noted, has consistently demonstrated its commitment to supporting national cotton revival efforts. However, without urgent and decisive policy and institutional actions, the agreed strategy cannot translate into tangible outcomes.

He urged the minister to personally intervene to ensure immediate progress on these decisions in order to safeguard the cotton crop and the cotton-based industry, which provides employment to millions across the country.

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The meeting also advised the farmers to delay the first spray as much as possible and only spray when the crop is under stress. The advice was issued in the fifth meeting of the Farmers Technical Advisory Committee (FAC) held at the Central Cotton Research Institute, Multan, under the chairpersonship of Director Ms. Sabahat Hussain. Comprehensive recommendations for the next fifteen days were presented to farmers regarding the successful cultivation and management of early and seasonal cotton.

The meeting was informed that farmers whose crop is two months or older and has started forming squares (flower buds) should begin the application of fertilizers. In such crops, one bag of urea per acre should be applied. For weed control, an integrated weed management approach should be adopted. Farmers should irrigate the crop at intervals of 7 to 10 days.

In case of early sowing of triple gene cotton varieties, the recommended glyphosate should be used. Reports of armyworm attack in patches have been received in some areas. If cotton leaves appear perforated, farmers should spray 40 ml of Levofuran in 20 liters of water on affected plants and the surrounding area.

For land preparation, the use of a laser land leveller is recommended. In case of hard soil, the use of a chisel plough is beneficial so that roots can penetrate deeper. Before sowing cotton, Pendimethalin at the rate of 1200 ml per acre should be applied, or alternatively, S-metolachlor at 800 ml per acre should be applied within 24 hours after sowing.

Seeds should always be obtained from authentic institutions and only approved varieties should be cultivated. Plant-to-plant distance should be maintained at 9 inches. Cotton cultivation should always be carried out considering prevailing weather conditions. Farmers should avoid sowing cotton in fields where okra or egg-plant crops are already present.

The meeting was attended by heads of various departments including Sajid Mahmood, Dr. Muhammad Akbar, Dr. Muhammad Ahmed, Dr. Rabia Saeed, Muhammad Azam, and Scientific Officers Junaid Ahmad Daha and Hafiz Muhammad Imran.

The next (sixth) meeting of the Farmers Advisory Committee will be held on May 16 at the institute.

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The move has drawn sharp criticism from the building’s affectees, particularly because the matter is already subjudice before the Sindh High Court. Critics have termed the occupation unlawful and a blatant disregard for judicial proceedings.

The fallout from this alleged seizure has been immediate and far-reaching. The daily cotton spot rate, a critical pricing benchmark for Pakistan’s domestic cotton trade, has remained suspended since December 12, 2025, leaving traders, ginners and farmers without an official price reference and pushing the entire cotton supply chain into a state of uncertainty.

The domestic cotton market is already under considerable strain. Available stocks have dwindled to negligible levels, with whatever little remains changing hands at prices between Rs19,500 and Rs21,000 per maund. Despite the grim supply situation, early signs of activity in the new crop season have offered some relief to market participants.

Future trading for the 2026-27 crop has begun on a partial basis, with Phutti deals of forty kilograms being settled at Rs10,000 and ginned cotton fetching Rs21,750 per maund, signalling cautious optimism among buyers and sellers alike.

On the global front, international cotton markets are witnessing a strong bullish momentum. New York Cotton Futures have surged to hit the key target of 85 US cents, reflecting robust international demand and a tightening global supply outlook that could have significant implications for Pakistani exporters in the months ahead.

Back home, the broader industrial landscape continues to present a challenging picture. Successive hikes in petroleum prices, electricity tariffs and gas charges, compounded by the State Bank of Pakistan’s decision to raise the benchmark interest rate, have taken a heavy toll on industrial output across the board. The textile sector, already navigating a difficult operating environment, has been among the hardest hit, with rising input costs squeezing profit margins and dampening production capacity.

Against this backdrop of domestic challenges, Pakistan’s textile industry has managed to make its mark on the world stage. Pakistani exhibitors delivered a standout performance at the prestigious Techtextil and Texprocess international trade fairs, showcasing the sector’s technical capabilities and product diversity to a global audience.

Cotton prices remained largely stable in the local market during the past week amid extremely thin trading activity. Although the current season has come to an end, very little stock remains, while reports are beginning to emerge about the partial arrival of new crop cotton. Some future contracts were settled at Rs 21,750 per maund for cotton and Rs 10,000 per 40 kilograms for Phutti.

Tensions in the Middle East have created abnormal conditions in markets, particularly causing a sharp rise in energy prices whose negative effects are becoming visible across various commodities, including cotton. International cotton markets are also showing an upward trend in prices.

Industrial production has been adversely affected by rising energy costs, including petroleum products, electricity and gas, as well as an increase in the State Bank’s policy rate. The textile sector has been among those bearing the brunt of these developments.

Cotton prices are showing firmness globally. Drought conditions in the United States, combined with intense heat waves over cotton-growing regions in Pakistan and India, are pointing toward higher cotton prices in the new season. Production in Brazil also appears lower than expected, and reports from Africa are similarly discouraging. Market observers believe that cotton prices in Pakistan are likely to remain favourable.

The Evacuee Trust Property Board (ETPB) has been in occupation of the Cotton Exchange building since December 12 with the assistance of the FIA, which has made it impossible to issue the daily cotton spot rate, a figure of considerable importance to the market.

The small quantities of cotton still available in Sindh and Punjab are trading at between Rs 19,500 and Rs 21,000 per maund, depending on quality and condition.

Karachi Cotton Brokers Forum Chairman Naseem Usman stated that international cotton markets are trending upward. New York cotton futures were quoted between 81.85 and 84.56 US cents per pound. According to the USDA weekly export and sales report, a total of 162,900 bales were sold for the 2025-26 season. Vietnam led all buyers with purchases of 55,600 bales, followed by Pakistan in second place with 33,300 bales, and Honduras in third with 29,700 bales.

For the 2026-27 season, Turkey, China, Guatemala, Honduras and Pakistan collectively purchased approximately 105,700 bales.

Cotton prices continue to reach new highs, with the 85-cent target nearly achieved. Both July and December contracts closed near their weekly highs, signalling the possibility of a further bullish trend in the market.

However, this sharp price surge is largely driven by supply concerns, particularly due to drought conditions in Brazil and the United States. Should weather conditions improve and rainfall occur, production could increase, potentially pulling prices down by around 500 points. The current rally is considered overly aggressive and difficult to sustain over the long term, though prices could still climb as high as 88 cents.

Demand remains a weak factor in the market at present. Textile mills have not increased production, nor are they shifting from synthetic fibre to cotton, as consumer demand has shown no meaningful growth. The market is therefore entirely supply-driven at this stage.

Furthermore, no major shift in the production season is expected, as planting has already begun in the Northern Hemisphere and the area under cultivation is largely fixed. Shortages of resources, seeds, financing, and machinery continue to hinder any expansion in cultivated acreage.

Weather continues to dominate the market outlook. Prices may remain volatile within the 80 to 85 cent range. The narrowing price gap between old and new crop contracts suggests that this rally is being driven purely by seasonal factors rather than any fundamental shift in market dynamics.

Since the United States and Brazil account for a significant share of global cotton trade, crop conditions in both countries will continue to influence market direction. Mills have stepped up price-fixing activity in recent weeks, which could provide some support to prices through May.

Exports performed better than expected, pointing to a possible improvement in demand, though mills continue to report sluggish business activity.

Pakistan’s textile sector demonstrated outstanding performance at the Techtextil and Texprocess 2026 exhibitions held in Frankfurt, Germany, successfully capturing the attention of international buyers. Pakistan’s participation was characterized by deep buyer interest in its products, active engagement, and a growing international reputation.

The event brought together over 1,700 exhibitors from 54 countries, reflecting the depth and diversity of the global textile industry. From established manufacturers to emerging players, participants presented new developments and practical solutions that highlighted steady industry growth and adaptability.

Thousands of trade visitors, including buyers, industry professionals, and decision-makers, attended the exhibitions and actively interacted with exhibitors these engagements created valuable opportunities for networking, sourcing, and future business partnerships.

The Trade Development Authority of Pakistan (TDAP) led a national pavilion featuring Sadaqat Limited, Haroon Fabrics, JK Spinning, and Ahmed Fine Weaving. Independent exhibitors, including Artistic Milliners, H Nizam Din & Sons, Master Textile, Sapphire Finishing, Nishat, Pakwinz International, and M Bilal Textiles, further strengthened Pakistan’s presence with a diverse product range.

Mohd Noman Qadir, Export Manager at Pakwinz International, said the fair was highly productive, with strong orders from European buyers. He added that their presence in Germany aims to explore advanced technologies and European developments to help boost exports and support economic growth back home.

Raheel Walani, Senior Manager Sales & Marketing at Art Mill said that the fair was very successful. The flow of visitors was strong, and they attracted buyers from many countries. He added that the company secured excellent business opportunities during the event.

Copyright Business Recorder, 2026

On the international front, the ongoing Middle East tensions are driving a bullish trend on the New York cotton exchange, with the effects increasingly being felt in local markets. However, business circles have adopted a wait-and-see approach amid the conflict involving Iran, Israel and the United States, further dampening market activity.

Domestic cotton stocks are now nearly exhausted, leading to a sustained rise in imports to meet mill demand. Partial advance deals for the upcoming 2026-27 cotton season have already started taking place.

The Federal Committee on Agriculture has set the production target for the next season at more than 96 lac bales, significantly lower than the previous year’s target of one crore twenty lac bales. Last season’s actual output was particularly alarming: the country produced only 56 lac bales, the lowest level in 40 years.

In an effort to ease the financial strain on the textile sector, the All Pakistan Textile Mills Association is actively working to secure improvements in refinance facilities.

Prominent agriculture expert Sajid Mahmood said the challenge of reviving cotton production is fundamentally economic, not technical. “Concrete economic measures are indispensable for any lasting recovery,” he maintained.

The local cotton market remained largely stable but subdued during the past week, as mounting anxiety among businessmen over the ongoing conflict involving the United States, Israel, and Iran in the Middle East continued to weigh heavily on trade activity. With uncertainty dominating market sentiment, transactions have slowed to a near standstill, making it increasingly difficult to determine accurate price levels.

No significant deals have been formally recorded in the market, though occasional reports from cotton traders indicate that prices are ranging between Rs. 18,500 and Rs. 21,500 per maund, varying according to quality. Ginners are reported to be holding a limited stock of a few thousand bales, but these too have seen little to no trading activity in the open market.

In a sign of cautious optimism for the season ahead, some advance deals for the 2026–27 cotton seasons have already been concluded, with transactions settled at Rs. 21,500 per maund against delivery conditions between May 20 and 30. The price of phutti has been reported at Rs. 10,000 per 40 kilograms.

On the production front, the Federal Committee on Agriculture has set a cotton production target of 96 lac bales for the 2026–27 season.

Internationally, cotton prices reflected a mixed trend following an initial surge driven by Middle East tensions. New York cotton futures climbed to between 78 and 82 US cents per pound before retreating to close in the range of 76 to 80 cents.

Meanwhile, the Karachi Cotton Exchange building remains sealed since December 12, 2025, following action by the Evacuee Trust Property Board with the assistance of the FIA. As a result, the daily cotton spot rate, a key market benchmark, has not been issued, further adding to the uncertainty in the market.

Across Sindh and Punjab, cotton prices held in the range of Rs 18,500 to Rs 21,500 per maund, subject to quality and payment conditions, while prices of cottonseed cake and cottonseed oil remained relatively stable.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, said international cotton prices remained mixed during the week, with New York cotton futures closing at 76 to 80 US cents per pound.

According to the USDA weekly export report, a total of 119,900 bales were sold for the 2025–26 marketing year. Vietnam topped the buyers’ list with 52,100 bales, followed by Turkey at 22,400 bales and Pakistan in third place with 15,900 bales. For the 2026–27 marketing year, sales stood at 57,100 bales, with Vietnam and Indonesia sharing the lead at 17,600 bales each and Pakistan again ranking third with 13,200 bales. Total export shipments for the week reached 296,400 bales, with Vietnam receiving the largest share at 89,000 bales, Pakistan second at 46,600 bales, and India third at 25,100 bales.

On the domestic front, Pakistan’s export-oriented textile industry is facing mounting pressure amid the ongoing conflict in the Middle East. Industry exporters have warned that value-added textile sales could decline significantly during the current fiscal year 2025–26 if regional tensions continue to escalate. Ongoing hostilities involving Iran, Israel, and the United States could result in a 10 to 20 percent drop in Pakistan’s textile exports.

Disruptions to shipping routes through the Strait of Hormuz are already pushing up freight and insurance costs, while textile shipments to the European Union and the United States are facing expected delays of 15 to 20 days. Rising import prices of fuel and raw materials are placing additional financial strain on the sector. A decline in textile exports was already recorded in March 2026, and industry officials caution that the figure could reach 20 percent if the situation does not improve.

Textile industry leaders have formally requested the government to devise an emergency contingency plan to protect this critical pillar of Pakistan’s national economy.

The country’s textile industry has urged the State Bank of Pakistan (SBP) to enhance export refinance facilities to enable exporters to meet their growing working capital requirements.

In a letter to the Governor, State Bank of Pakistan, APTMA Chairman Kamran Arshad stated that the textile industry remains the mainstay of Pakistan’s economy, contributing around 60 percent to total exports, 8.5 percent to GDP, and employing nearly 40 percent of the manufacturing workforce.

He noted that the sector, a key driver of foreign exchange earnings, is currently facing mounting working capital constraints due to elevated energy costs, supply chain disruptions, and uncertainties stemming from the evolving geopolitical situation —particularly in the Middle East — alongside domestic economic pressures. These challenges, he added, are adversely affecting the sector’s operations and growth trajectory.

Kamran Arshad emphasized that, given these constraints, there is an urgent need to facilitate exporters through adequate and timely access to financing.

“We, therefore, request the State Bank of Pakistan to enhance export refinance facilities, enabling exporters to efficiently meet their working capital requirements and fulfill export orders,” he said.

He further stated that an expansion in export refinance facilities would help the textile sector navigate current challenges, strengthen Pakistan’s position in global markets, and contribute to higher exports and improved economic stability.

Cotton expert Sajid Mahmood, in a telephonic conversation with renowned cotton market analyst Naseem Usman, held a detailed discussion on the current state of cotton in Pakistan and its future prospects. During the exchange, he emphasized that the challenge of cotton revival is less technical in nature and more closely linked to economic conditions and practical policy measures.

Sajid Mahmood pointed out that in recent years, cotton production in the country has declined by approximately 45 percent, reflecting a deeply concerning trend for this vital agricultural sector. According to him, a regional shift has also been observed, with Sindh outperforming Punjab in cotton production.

He further noted that the primary factors behind the decline in cotton cultivation include rising production costs, reduced water availability, price instability, and farmers’ increasing inclination toward alternative crops that offer relatively more assured returns. In this context, the establishment of new sugar mills—particularly in South Punjab, especially in Rahim Yar Khan district—has also accelerated the shift toward sugarcane cultivation.

Sajid Mahmood stressed that the core challenge lies in the profitability gap and income uncertainty associated with the cotton sector, which is making the crop increasingly unattractive for farmers. He maintained that unless the economic returns from cotton cultivation become more visible and stable, farmers will continue to favor alternative crops.

With regard to solutions, he highlighted the need for transparency in subsidy mechanisms, strengthening of direct procurement systems, and enhanced linkages between the textile industry and farmers. Such measures, he noted, are essential for improving the efficiency of the cotton value chain and ensuring more equitable returns for growers.

On institutional coordination, Sajid Mahmood described the proposed merger between the Pakistan Central Cotton Committee (PCCC) and the Pakistan Agricultural Research Council (PARC) as an important and positive development. He observed that this integration could help bring research, policy formulation, and practical agricultural operations onto a unified platform, thereby strengthening the prospects for the revival and sustainable development of the cotton sector.

Copyright Business Recorder, 2026

The Federal Committee on Agriculture has set a cotton production target of 9.64 million bales for the 2026-27 season, which are 1.46 million bales lower than the previous year’s target of 11.1 million bales. Meanwhile, the Central Cotton Research Institute (CCRI) has issued fresh guidelines to help farmers achieve higher cotton yields in the upcoming season.

At an important conference held at Sindh Agriculture University, experts described Pakistan’s cotton crisis as severe and called for the formulation of a unified national strategy to address it. Syed Nadeem Shah, Senior Vice President of the Sindh Abadgar Board, identified substandard seeds, climate change, imbalanced use of fertilisers, and ineffective pesticides as the primary causes of farmers’ financial distress. He also criticised the persistent absence of stable agricultural policies and reliable agricultural data, and proposed the formation of a Breeders Advisory Board comprising retired agricultural experts.

The All Pakistan Textile Mills Association (APTMA) has demanded a reduction in scanning charges levied on imported cargo. In a separate development, the Karachi Cotton Exchange building has remained sealed since December 12, 2025, following an action by the Evacuee Trust Property Board (ETPB) with the assistance of the Federal Investigation Agency (FIA). As a result, the daily cotton spot rate a critical market benchmark has not been issued, leaving the market in a state of continued uncertainty.

The local cotton market witnessed a significant rise in quality cotton prices during the past week, with rates climbing by Rs1,000 to Rs1,500 per maund. Industry observers attribute this sharp increase to two primary factors. First, domestic cotton stocks have nearly been exhausted across the country. Second, escalating tensions in the Middle East have triggered a substantial surge in international cotton prices, with New York cotton futures rising by 6 to 7 US cents per pound.

The government has set an ambitious production target of 9.64 million bales of cotton from 2.1 million hectares of cultivated area during the upcoming Kharif season 2026-27. This target comes at a time when Pakistan is grappling with a serious cotton crisis, largely attributed to the government’s disproportionate focus on industrial sectors while the concerns of farmers continue to be overlooked.

The country produced only 5.67 million bales during 2025-26, a figure that stands in stark contrast to the record high of 15 million bales achieved in 2014-15, underscoring the severe decline the sector has endured over the past decade. The Federal Committee on Agriculture (FCA), established to oversee strategic measures aimed at ensuring food security, held its meeting on Tuesday under the chairmanship of Federal Minister for National Food Security and Research, Rana Tanveer Hussain.

On the international front, ICE cotton futures surged to their highest level in more than 22 months, buoyed by rising crude oil prices and a weakening US dollar. Drought conditions prevailing across key cotton-growing regions in the United States further supported the fiber’s upward price trajectory, adding momentum to an already bullish global cotton market.

The Karachi Cotton Exchange building has been sealed by the Evacuee Trust Property Board (ETPB) with the assistance of the Federal Investigation Agency (FIA) since December 12, 2025, as a result of which the critically important Daily Cotton Spot Rate has not been able to be officially issued.

In the provinces of Sindh and Punjab, cotton is currently being traded at prices ranging from Rs. 17,000 to Rs. 21,500 per maund, depending on quality and payment conditions.

Karachi Cotton Brokers Forum Chairman Naseem Usman reported a significant rise in international cotton prices, with New York cotton futures trading between 76 and 80 US cents per pound.

According to the USDA weekly export and sales report, total cotton sales for the marketing year 2025-26 reached 161,100 bales. Vietnam led all buyers by purchasing 62,100 bales, followed by Turkey in second place with 49,000 bales, while Pakistan ranked third with purchases of 32,900 bales.

For the 2026-27 marketing year, forward sales stood at 26,900 bales, with Vietnam accounting for 20,700 bales and Portugal purchasing the remaining 6,200 bales.

On the export side, total shipments amounted to 305,000 bales. Vietnam topped the list of importing nations by receiving 110,400 bales, with Pakistan coming in second at 35,900 bales and Turkey in third place with imports of 31,900 bales.

Leading national and international experts, policymakers and progressive growers on Tuesday voiced serious concern over the persistent decline in cotton production in Pakistan, urging a coordinated, multi-stakeholder strategy to revive the crop — once regarded as the backbone of the country’s agrarian economy.

They were speaking at the opening session of Two-day international conference titled “Cotton Seed Production and Development: Issues and Solutions,” organised by the Department of Plant Breeding and Genetics at Sindh Agriculture University (SAU) Tandojam, with support from the Higher Education Commission (HEC), Islamabad.

Participants emphasised the need for a robust, collaborative platform bringing together public-sector research and academic institutions, private seed companies and policymakers to tackle the multifaceted challenges facing the cotton sector.

Experts attributed the continued decline to climate change, rising temperatures, limited technological innovation in seed development, escalating input costs, volatile market prices and increasing fuel costs. They warned that without farmer-friendly policies and timely interventions, the situation could deteriorate further.

In his presidential address, SAU Vice Chancellor Engr. Prof Dr Altaf Ali Siyal described cotton as a strategic crop, contributing around one per cent to the national GDP and about five per cent to agricultural value addition, while supporting millions of livelihoods.

He noted with concern that the area under cotton cultivation had shrunk from around three million hectares to nearly 2–2.2 million hectares over the past decade, with yields either stagnating or declining due to pest attacks, climate stress and poor-quality seed.

Dr Siyal highlighted key challenges including the absence of certified and traceable seed systems, increasing pest pressure, climate variability and weak linkages between research and extension services. “Addressing these challenges requires a convergence of science, policy and practice,” he said, adding that the university had developed two cotton varieties and would continue contributing through research, innovation and partnerships.

Director of the Nuclear Institute of Agriculture (NIA) Tandojam, Dr Mahboob Ali Sial, underscored the challenge of developing certified, climate-resilient seed, noting that Pakistan ranked among the most climate-vulnerable countries. He said research institutions and plant breeders had a critical role to play, adding that his institute was working on improved seed varieties for 41 crops.

Senior Vice President of the Sindh Abadgar Board, Syed Nadeem Shah, pointed to multiple constraints — including substandard seed, climate change, imbalanced fertiliser use and ineffective pesticides — which, he said, were pushing farmers towards financial distress. He criticised the lack of consistent policies and reliable agricultural data, and proposed the formation of a breeders’ advisory board comprising retired experts.

Chinese expert Wang Xin Chen said his team was collaborating with Pakistan’s private sector and research institutions to develop improved seed varieties for cotton and other crops, ensuring better access for farmers.

Representing the International Center for Cotton Development & Sustainability (ICCDS), Senior Advisor Shahid Mansoor said that Sindh’s per-acre cotton yield remained higher than Punjab’s and urged agricultural graduates to focus on developing new crop varieties.

Private sector representative Tariq Khanzada observed that while global cotton research had advanced to multi-gene technologies, Pakistan was still struggling with single-gene progress. “Without adopting modern technologies, cotton will continue to decline, and farmers will shift to alternative crops,” he warned.

Earlier, conference secretary Prof Dr Shah Nawaz Mari, principal organiser Dr Wajid Ali Jatoi, Dr Shabana Memon and Dr Tanweer Fatah Abro also addressed the participants, while experts from various countries and institutions across Pakistan participated in the conference both physically and virtually, presenting their research papers during the technical sessions.

Among those present were Chinese expert Mr Zhong Weisheng, Dean Faculty of Crop Production Prof Dr Inayatullah Rajper, Head of Rural Banking at United Bank Limited Syed Arif Ali Shah, noted agricultural expert Karam Khan Kaleri, and representatives from academia, industry and farming communities.

Later, the vice chancellor, along with distinguished guests, inaugurated an agricultural exhibition featuring stalls from public and private organisations, followed by technical sessions. A large number of scientists, industry representatives, breeders, progressive farmers and students attended the conference.

The All Pakistan Textile Mills Association (APTMA) has called on the authorities to reduce scanning charges on import containers used by export-oriented industries, stressing that such a measure is critical to sustaining Pakistan’s fragile export momentum amid rising production costs and persistent supply-side challenges.

In a letter addressed to the Project Director of the Automated Exit and Entry System (AEES) at the Collectorate of Customs Appraisement (West), Customs House Karachi, APTMA Secretary General Raza Baqir cited Pakistan Customs’ notification dated April 4, 2026, under which scanning charges on export containers had been reduced. The association welcomed the decision, describing it as a timely intervention, particularly given that port congestion a factor largely beyond the control of exporters continues to disrupt supply chains.

However, APTMA emphasized that similar relief must be extended to the import consignments of export-oriented units, which primarily consist of raw materials brought in on a temporary basis for the manufacture of exportable goods. The association noted that reducing scanning charges on such imports would directly lower input costs and ease the financial burden on exporters.

The demand has come at a time when Pakistan’s textile sector is grappling with a range of difficulties. Industry players have identified high energy tariffs, expensive financing, currency volatility, and delays in the refund of duties and taxes as key factors undermining their competitiveness. These pressures have been further compounded by recent disruptions in global supply chains and a softening of demand in major export markets, which have squeezed margins considerably.

Stakeholders argue that reducing port-related charges could provide immediate and tangible relief. With the overall cost of doing business rising across the board, even incremental savings on logistics and compliance expenditures could help Pakistani exporters remain competitive against regional rivals such as Bangladesh, Vietnam, and India.

Exporters have also raised concerns that delays and additional costs at ports not only lengthen delivery timelines but also undermine Pakistan’s credibility as a reliable supplier in international markets. Against this backdrop, APTMA’s proposal is being viewed as part of a broader push for trade facilitation reforms aimed at improving operational efficiency and reducing transaction costs across the export supply chain.

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They were speaking at the opening session of a two-day international conference titled “Cotton Seed Production and Development: Issues and Solutions,” organised by the Department of Plant Breeding and Genetics at Sindh Agriculture University (SAU) Tandojam, with support from the Higher Education Commission (HEC), Islamabad.

Participants emphasised the need for a robust, collaborative platform bringing together public-sector research and academic institutions, private seed companies and policymakers to tackle the multifaceted challenges facing the cotton sector.

Experts attributed the continued decline to climate change, rising temperatures, limited technological innovation in seed development, escalating input costs, volatile market prices and increasing fuel costs. They warned that without farmer-friendly policies and timely interventions, the situation could deteriorate further.

In his presidential address, SAU Vice Chancellor Engr. Prof Dr Altaf Ali Siyal described cotton as a strategic crop, contributing around one per cent to the national GDP and about five per cent to agricultural value addition, while supporting millions of livelihoods.

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According to sources, there are indications that the ongoing dispute between Pakistan and Afghanistan may be resolved through Chinese mediation. If diplomatic matters progress in the right direction, the import of cotton from Afghanistan into Pakistan could resume. Sources further revealed that Afghanistan currently holds a stock of approximately 500,000 cotton bales, which could significantly ease supply pressures in the Pakistani market once trade relations are restored.

The Karachi Cotton Exchange building has remained sealed since December 12, 2025, following an operation carried out by the Evacuee Trust Property Board with the assistance of the Federal Investigation Agency. As a direct consequence of this closure, the daily cotton spot rate, which holds critical importance for market participants and industry stakeholders, has not been officially issued, creating uncertainty in the trading community.

Despite the prevailing regional tensions, Pakistan’s textile exports recorded a month-on-month increase in March, which has been widely regarded as an encouraging and positive development for the country’s export-driven economy.

Khalid Mahmood Khokhar, Chairman of Kisan Ittehad, strongly urged the government to focus on the revival of cotton cultivation in Pakistan, stressing that the national economy cannot sustain itself without this vital crop. He expressed serious concern that while White Poison, referring to sugar, is being actively promoted and encouraged, White Gold, meaning cotton, is being neglected and its cultivation systematically destroyed, warning that this misaligned agricultural policy poses a grave threat to the country’s economic future.

The local cotton market witnessed overall price stability during the past week. Although the two-week ceasefire amid escalating tensions between Iran, Israel, and the United States in the Middle East caused a decline in the prices of several commodities globally, this development also prevented cotton prices from rising significantly. In contrast, international cotton prices saw a relative increase during the same period. The limited domestic cotton stock contributed to relative price stability within the country. Meanwhile, a reduction in energy prices is expected to boost industrial production in the coming period.

On the trading front, future contracts for new cotton and Phutti have been settled for delivery between May 20 and May 30.

In a notable development, the Punjab Agriculture Department is actively pursuing efforts to rehabilitate cotton cultivation across the province. In this connection, a seminar was held in Bahawalpur last week to promote awareness and coordinate revival strategies.

In Sindh and Punjab, cotton prices ranged between Rs 18,500 and Rs 20,000 per maund, varying according to quality and payment conditions.

Trade activity in Banola, Khal, and Oil remained sluggish throughout the week.

The Karachi Cotton Exchange building has been sealed by the Evacuee Trust Property Board (ETPB) with the assistance of the Federal Investigation Agency (FIA) since December 12, due to which the critically important Daily Cotton Spot Rate has not been able to be issued.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, stated that international cotton prices continued to rise during the period. New York cotton futures were traded between 73 and 76 US cents per pound.

According to the weekly export and sales report released by the United States Department of Agriculture (USDA), a total of 319,600 bales were sold for the marketing year 2025-26. Vietnam led all buyers by purchasing 132,500 bales, followed by Turkey in second place with 67,800 bales, while Pakistan ranked third by purchasing 36,000 bales.

For the 2026-27 marketing year, total sales stood at 14,100 bales. Costa Rica topped the list with purchases of 13,200 bales, Indonesia came in second with 9,300 bales, and South Korea ranked third with 6,500 bales.

On the export shipments front, a total of 342,700 bales were exported during the reported period. Vietnam remained the leading importer by receiving 126,200 bales, followed by China in second place with 39,000 bales. India ranked third with imports of 37,100 bales, while Pakistan came in fourth position by importing 32,900 bales.

Despite regional tensions, Pakistan’s textile exports registered a month-on-month increase in March 2026. According to sources, textile exports rose by 1.5 percent compared to February, reaching 1.35 billion dollars. However, on a year-on-year basis, textile exports recorded a decline of 6.25 percent in March. During the first nine months of the current fiscal year, textile exports witnessed a marginal decrease of 0.15 percent.

Meanwhile, Chairman of the Pakistan Cotton Ginners Association (PCGA), Shaam Lal Manglani, participated in a Zoom meeting organized by the Ministry of National Food Security and Research, where key issues related to cotton were discussed with stakeholders. Manglani actively engaged in the discussion, highlighting the concerns of the ginning sector and proposing practical solutions.

Expressing serious concern, the PCGA Chairman noted that despite surplus sugar production in the country, new sugar mills are still being established, particularly in Rahim Yar Khan, which is one of Pakistan’s most important cotton belt regions. He described this as a direct blow to cotton cultivation and a grave threat to the national textile economy, stressing that such policies must be immediately halted in order to protect the cotton sector and safeguard the country’s economic interests.

Kissan Ittehad Chairman Khalid Mahmood Khokhar also voiced his concern, stating that he wants to see the revival of cotton in the country, as the national economy cannot function without it. He lamented that while “White Poison” — referring to sugar — is being promoted, “White Gold,” which is cotton, is being systematically destroyed.

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On the weather front, torrential rains caused partial disruption to the sowing of early cotton crop in the lower regions of Sindh province, leaving farmers facing considerable difficulties as a result.

The government has imposed a sharp and substantial increase in petrol and diesel prices. According to experts, this hike is expected to have adverse effects on the cotton and textile industry.

Head of the Transfer of Technology Central Cotton Research Institute Multan Sajid Mahmood noted that the ginning and textile sectors hold significant importance within the cotton value chain in terms of energy consumption, and that the rise in energy prices will have serious negative consequences for these industries as well.

Stakeholders and the Pakistan Cotton Ginners Association mounted an effective protest against the establishment of new sugar mills, and the government has taken notice of their concerns.

Under the auspices of the Punjab Agriculture Department, an inaugural seminar was held in Bahawalpur as part of the “Grow More Cotton” campaign, with the aim of encouraging farmers to increase cotton cultivation across the region.

The upward trend in polyester fibre prices continues to persist. On the judicial front, the Director General of the Federal Investigation Agency has been summoned in a personal capacity before the honourable Sindh High Court over the matter of continuing operations at the Karachi Cotton Exchange despite an existing stay order.

The local cotton market witnessed an overall bullish trend during the past week. Quality cotton was traded at Rs. 20,000 per maund, while average cotton prices ranged between Rs. 18,500 and Rs. 19,500 per maund. Prices of other cotton-related commodities, including cottonseed cake (khal), cottonseed (binola), and cottonseed oil, also remained on an upward trajectory.

Cotton stocks across the country are depleting rapidly, with current reserves falling to critically low levels. As a result, textile mills in urgent need of raw material are accelerating their purchasing activity to secure available supplies before the situation worsens further.

The new cotton crop is expected to partially arrive in the market around May and June, though prices at that time are also anticipated to remain relatively high. Meanwhile, the ongoing conflict in the Middle East is causing delays in the delivery of imported cotton, further straining the already tight supply situation. In addition, due to tensions between Pakistan and Afghanistan, approximately 800,000 bales of cotton that were expected to be imported from Afghanistan have not been received, adding to the supply shortfall.

The domestic cotton crop was already in a state of decline, and the situation is being further aggravated by the installation of sugar mills in cotton-producing zones and regions. This shift in land use is expected to reduce cotton cultivation even further. Instead of recovering, cotton production in the country continues to follow a downward trajectory year after year. Despite hollow promises of cotton revival, production has been declining consistently for several years, leading to an ever-increasing reliance on imports of both raw cotton and edible oil, draining valuable foreign exchange reserves — a reality to which the government appears to remain indifferent.

In Sindh and Punjab, cotton prices are currently ranging from Rs. 18,500 to Rs. 20,000 per maund, depending on quality and payment conditions. Prices of cottonseed cake, cottonseed, and cottonseed oil continue to show a firming trend.

It is pertinent to note that the Karachi Cotton Exchange building has been sealed by the Evacuee Trust Property Board (ETPB) with the assistance of the Federal Investigation Agency (FIA) since December 12, owing to which the critically important daily cotton spot rate has not been officially issued, leaving market participants without a key pricing benchmark.

Karachi Cotton Brokers Forum Chairman Naseem Usman stated that bullish sentiment continues to dominate international cotton markets, with New York cotton futures trading between 70 and 75 US cents per pound.

According to the USDA weekly export and sales report, total cotton sales for the marketing year 2025-26 reached 371,475 bales. Vietnam led all buyers by purchasing 175,500 bales, while Turkey came in second with purchases of 59,400 bales. For the 2026-27 marketing year, sales stood at 117,271 bales, while total export shipments during the reported period amounted to 356,663 bales.

In a move that has sent shockwaves through the country’s economy, the government has imposed a staggering increase in petrol and diesel prices, raising petrol by Rs136.83 per litre and diesel by Rs184.14 per litre. The decision has unleashed a severe wave of inflation across the nation, with electricity and gas tariffs also expected to follow suit.

The price hike has dealt a crippling blow to an already struggling public and industrial sector. Industries that were barely managing to sustain operations amid previous energy cost increases are now facing the prospect of complete shutdown. The cotton and textile sectors, in particular, are expected to bear the brunt of this latest blow. Banking interest rates are also anticipated to rise in response, while transport fares have already surged dramatically, making everyday goods increasingly unaffordable for ordinary citizens. The broader business community is reeling under the pressure, and economists warn that the contraction of industry and commerce will inevitably lead to a sharp rise in unemployment.

Fearing a massive public backlash following the announcement, the government has temporarily reduced the government levy by Rs80 per litre for a period of one month. As a result, the current price of petrol has been set at Rs378 per litre for the time being.

The Pakistan Cotton Ginners Association (PCGA) has raised a formal alarm over the proposed establishment of new sugar mills in Rahim Yar Khan and along the Sindh-Punjab border, warning that the continued encroachment of sugarcane into traditional cotton zones is pushing the national economy toward a precarious precipice. In a series of high-level letters dispatched to the Chief Justice of Pakistan, Justice Yahya Afridi, and the Chief Justice of the Federal Constitutional Court, Justice Amin-ud-Din Khan, the PCGA underscored the dire consequences of ignoring crop zoning laws. Similar appeals were sent to Prime Minister Shehbaz Sharif, Chief of Army Staff General Asim Munir, Punjab Chief Minister Maryam Nawaz Sharif, and Sindh Chief Minister Murad Ali Shah. The association highlighted that Rahim Yar Khan, once the “gold standard” of Pakistan’s cotton production with a yield of 1.8 million bales annually, has been systematically transformed into a sugarcane stronghold. The district currently houses six sugar mills, with four additional units operating on the nearby Sindh-Punjab border, boasting a massive combined crushing capacity. Reports suggest that three more units—one in Zahir Pir and two on the provincial border—are currently in the pipeline. “Cotton is the backbone of Pakistan’s exports,” the PCGA stated. “Yet, due to the lack of enforcement regarding crop zoning, national production has plummeted from a peak of 15 million bales to a staggering low of 5.5 million bales.” This decline has forced the state to expend billions of precious foreign exchange reserves on importing raw cotton and edible oil.

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The ongoing delay in the merger of the Pakistan Central Cotton Committee and the Pakistan Agricultural Research Council continues to cause serious concern within the cotton industry. Stakeholders warn that the prolonged delay is adversely affecting research and development in the cotton sector. The textile industry has also raised alarm over the alleged misuse of the Export Financing Scheme, demanding immediate investigation by relevant authorities. Experts have emphasized that emergency measures must be taken on a war footing to enhance cotton production across the country.

In a significant development concerning the Karachi Cotton Association, affected parties have raised grievances even before the honourable Sindh High Court has issued its ruling. It is alleged that the Evacuee Trust Property Board and the Federal Investigation Agency have issued a notice to the KCA demanding payment of a sixteen billion rupee penalty. Additionally, three hundred and twenty registered brokers have individually been served notices requiring them to pay crores of rupees in relation to their office premises. The honourable Sindh High Court has, for the time being, restrained the FIA from entering the KCA building. The building has remained sealed since the twelfth of December 2025, when the Evacuee Trust Property Board sealed it with the assistance of the FIA, a development that has prevented the critically important Daily Cotton Spot Rate from being published.

On the agricultural front, approximately 3.5 million acres in Punjab are planned to be brought under cotton cultivation during the current season, a development being viewed as a positive step toward reviving and boosting the country’s cotton output.

Trading in the local cotton market resumed after the Eid-ul-Fitr holidays with a sharp rise in cotton prices. The price of quality cotton reached the highest level of the season, ranging between Rs 18,000 and Rs 19,000 per maund depending on quality and payment conditions, while ginners expect prices to surpass Rs. 20,000 per maund in the near term.

The significant price surge has been attributed to a combination of factors, including a shortage of quality cotton in the domestic market, a notable rise in New York cotton prices on international exchanges, and an increase in polyester fibre yarn prices. Cotton yarn demand and prices have also shown a relatively upward trend in recent trading sessions.

Adding to market concerns, the ongoing tensions between Iran, Israel, and the United States are raising fears of potential delays in imported cotton shipments, which could further tighten supply. Market participants have also raised complaints about a prevailing financial liquidity crunch that continues to weigh on trading activity.

On the agricultural front, the early sowing of cotton in the lower regions of Sindh province has been severely affected by recent heavy storm rains. Newly germinated plants suffered considerable damage, and farmers in several areas will be required to undertake re-sowing, casting uncertainty over the early crop outlook for the upcoming season.

In a separate but related development, the All Pakistan Textile Mills Association (APTMA) has expressed grave concern over the alleged widespread misuse of the government’s Export Facilitation Scheme (EFS). The association has warned that the situation is causing substantial revenue losses to the national exchequer and poses a serious threat to the domestic textile industry. APTMA has urged the government to take immediate corrective measures to prevent further damage to both public finances and the industrial sector.

Pakistan’s cotton industry is grappling with a deepening crisis on two fronts — a alarming multi-year decline in cotton production and an ongoing legal and administrative dispute surrounding the Karachi Cotton Association — prompting industry stakeholders to call for urgent government intervention.

Industry experts and stakeholders have stressed that the government must take emergency, war-footing measures to reverse the steep decline in cotton production that has persisted for several years. They warn that unless serious efforts are made to boost cotton cultivation in the upcoming season, Pakistan will continue to rely heavily on cotton imports, draining the country’s precious foreign exchange reserves.

Observers have noted with concern that the government appears to be prioritizing sugarcane over cotton, as sugar mills are being established in several regions that were traditionally known for cotton cultivation. This shift in agricultural priorities, they argue, is further undermining the prospects of reviving cotton output. Stakeholders believe that if the government intensifies its efforts to increase cotton production in the coming season, import dependence can be meaningfully reduced in the years ahead, resulting in significant savings of foreign exchange.

In a separate but equally serious development, affected parties linked to the Karachi Cotton Association (KCA) have raised alarm over what they describe as systematic harassment by federal agencies. Despite a judgment by the Sindh High Court being reserved in the matter, the Evacuee Trust Property Board (ETPB) and the Federal Investigation Agency (FIA) have reportedly served notices on the KCA demanding payment of a penalty amounting to approximately 1,594,317,000 rupees — nearly 16 billion rupees.

Furthermore, notices demanding payments running into crores of rupees have been individually dispatched to 320 registered cotton brokers, requiring them to settle dues against their respective offices. In addition, all directors of the Karachi Cotton Exchange have been directed to submit detailed information regarding their bank accounts, a move that affected parties say amounts to deliberate intimidation by the FIA.

The Sindh High Court has already directed the FIA to vacate and relinquish possession of the Karachi Cotton Exchange building. However, the Evacuee Trust Property Board sealed the FIA’s building on December 12, 2025, and it has remained sealed ever since. As a direct consequence of this prolonged closure, the daily cotton spot rate — a critical benchmark for the entire cotton trade — has been unable to be issued, causing significant disruption to market operations and further deepening uncertainty across Pakistan’s cotton sector.

Cotton prices in the provinces of Sindh and Punjab are currently ranging between Rs 17,500 and Rs 19,000 per maund, varying according to quality and payment conditions. The prices of cottonseed cake and cottonseed oil have remained stable.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, stated that bullish sentiment continues to dominate international cotton markets. New York cotton futures are currently trading between 69.50 and 74.26 US cents per pound.

According to the USDA weekly export and sales report, a total of 202,400 bales were sold for the 2025–26 marketing year. Vietnam led all buyers by purchasing 91,400 bales, followed by Pakistan in second place with 24,000 bales, while Turkey ranked third with purchases of 17,400 bales.

For the 2026–27 marketing year, total sales stood at 27,000 bales. Peru topped the list of buyers with 12,800 bales, Honduras came in second with 10,000 bales, and Thailand ranked third with 2,600 bales.

An important meeting regarding wheat and cotton was held in Multan under the chairmanship of Punjab Agriculture Secretary Iftikhar Ali Sahoo. The session brought together agricultural officials to review ongoing crop strategies and outline targets for the upcoming season.

According to the decisions taken in the meeting, cotton will be cultivated on approximately 3.5 million acres across Punjab. The early sowing process for cotton has entered its final stage, and the target for early cotton cultivation is set to be achieved by March 31.

Officials emphasized that the best strategy devised for seasonal cultivation must be adopted and that timely guidance should be provided to farmers regarding the phased care and maintenance of the cotton crop throughout its growth cycle.

A project worth approximately two billion rupees has already been launched to transform Bahawalpur Division into a Cotton Valley. Under this initiative, a subsidy of Rs 120,000 per unit is being provided on chisel ploughs, while financial assistance of Rs 50,000 per farm is being extended to farmers establishing Cotton Model Farms. Additionally, a subsidy of Rs 25,000 per unit is being offered for power sprayers to support mechanized crop management.

On the international front, the outlook for cotton prices remains promising, with strong indications of stability and a potential rise in global cotton prices in the near future.

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On the international front, New York cotton futures witnessed a notable rally before undergoing a minor correction, reflecting the volatile sentiment prevailing in global markets. Meanwhile, the Pakistani government has initiated a series of measures aimed at the revival of the domestic cotton sector, which has been grappling with structural and production-related challenges in recent years.

In a significant administrative development, the Karachi Cotton Exchange building has remained sealed for the past 40 days following action taken by the Evacuee Trust Property Board (ETPB) and the Federal Investigation Agency (FIA). As a direct consequence of this closure, the daily cotton spot rate — a critical benchmark for the industry — has not been issued, causing considerable uncertainty and disruption for traders and stakeholders dependent on this key market indicator.

On the policy front, the All Pakistan Textile Mills Association (APTMA) has issued a stern warning regarding the deep-rooted inefficiencies within Pakistan’s power sector. According to APTMA, these systemic failures continue to keep industrial electricity tariffs at uncompetitive levels, undermining the cost viability of the textile industry and hindering its ability to compete effectively in international markets.

Cotton prices in the local market witnessed a sharp rise of Rs1,000 to Rs1,500 per maund during the past week, driven by an uptick in New York cotton futures and a reduced availability of cotton domestically. Depending on quality and payment conditions, the price of cotton has now climbed to between Rs17,000 and Rs18,000 per maund.

The ongoing tensions in the Middle East have disrupted maritime trade routes, leading to significant delays in the shipment of imported cotton. Compounding the situation, shipping and insurance companies have raised their freight charges and policy premiums, which has further pushed up the cost of imported cotton in the local market.

Although demand for yarn has grown and its prices have also moved upward, the disproportionately steep rise in raw cotton prices, combined with higher energy costs, has substantially increased the cost of doing business for textile spinning mills. As a result, reports are emerging that several more mills are on the verge of closure or have already shut down operations.

Partial sowing of the early cotton crop has begun in certain agricultural areas of Sindh and Punjab. However, recent torrential rains in parts of lower Sindh, particularly in areas such as Thatta and Gharo, have reportedly caused damage to standing cotton plants, raising concerns about the early crop yield in those regions.

Cotton is currently trading at Rs16,500 to Rs18,000 per maund across Sindh and Punjab, with prices varying according to quality and payment terms.

Prices of cottonseed cake and cottonseed oil are also showing a relative upward trend in the market.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, has stated that there is an element of increase in international cotton prices, with New York cotton futures currently trading between 69 and 72 US cents per pound.

According to the USDA weekly export and sales report, a total of 196,700 bales were sold for the marketing year 2025-26. Vietnam led all buyers by purchasing 75,700 bales, followed by Turkey in second place with 27,800 bales, while India ranked third with purchases of 12,700 bales.

For the 2026-27 marketing year, total sales reached 122,200 bales. China topped the list of buyers with 48,600 bales, Pakistan came in second place with 20,000 bales, and Vietnam ranked third with purchases of 20,100 bales.

On the export side, total shipments amounted to 273,900 bales. Vietnam remained the leading importer by receiving 93,700 bales, Pakistan followed in second place with 36,400 bales, and Turkey ranked third with imports of 23,200 bales.

The Agriculture Republic, a think tank working to reflect on issues faced by the agricultural economy and propose remedies, appreciated the Punjab’s cotton cultivation campaign as a positive step and called that it must be complemented by the decisive federal action.

“It is imperative that the government urgently complete the PCCC-PARC merger, restore institutional clarity, and strengthen research and development systems. Simultaneously, policy reforms should prioritize local cotton through tax rationalization and targeted incentives to encourage increased production,” said Co-founder of the platform Aamer Hayat Bhandara while talking to Business Recorder.

Cotton has always held a central place in Pakistan’s agricultural economy and is widely referred to as the “White Gold” of the country. It is not only a major cash crop but also the backbone of the textile industry, contributing billions of dollars to national exports and foreign exchange earnings. In the current global environment, cotton must be viewed not merely as an agricultural commodity but as a strategic asset directly linked to economic stability, industrial continuity, and national resilience.

However, over the past seven to eight years, the cotton sector has faced multiple challenges, including institutional delays, lack of policy continuity, and instability in research and development systems. As a result, cotton production has declined significantly, from approximately 14–15 million bales to only 5–6 million bales, forcing the country to import raw cotton and causing a substantial outflow of foreign exchange, Aamer added.

A major institutional issue remains the pending merger of the Pakistan Central Cotton Committee (PCCC) with the Pakistan Agricultural Research Council (PARC), approved by the Federal Cabinet under the government’s rightsising policy. Despite the passage of one and a half years, the process remains incomplete.

Notably, the PCCC had already implemented rightsizing before the merger, reducing its workforce to 27 percent, well beyond the government’s 50 percent reduction target. Despite this, delays in completing the merger reflect inefficiency in decision-making.

At the policy level, a significant imbalance persists: imported cotton enjoys relative tax relief, while locally produced cotton faces higher taxes and costs. This disparity discourages domestic production and weakens the entire cotton value chain, affecting farmers, ginners, and the broader economy.

Aamer Bhandara further said global supply chain disruptions and evolving geopolitical dynamics have increased the risk of volatility in cotton availability and pricing.

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“It is imperative that the government urgently complete the PCCC-PARC merger, restore institutional clarity, and strengthen research and development systems. Simultaneously, policy reforms should prioritize local cotton through tax rationalization and targeted incentives to encourage increased production,” said Co-founder of the platform Aamer Hayat Bhandara while talking to Business Recorder on Tuesday.

Cotton has always held a central place in Pakistan’s agricultural economy and is widely referred to as the “White Gold” of the country. It is not only a major cash crop but also the backbone of the textile industry, contributing billions of dollars to national exports and foreign exchange earnings. In the current global environment, cotton must be viewed not merely as an agricultural commodity but as a strategic asset directly linked to economic stability, industrial continuity, and national resilience.

However, over the past seven to eight years, the cotton sector has faced multiple challenges, including institutional delays, lack of policy continuity, and instability in research and development systems. As a result, cotton production has declined significantly, from approximately 14–15 million bales to only 5–6 million bales, forcing the country to import raw cotton and causing a substantial outflow of foreign exchange, Aamer added.

A major institutional issue remains the pending merger of the Pakistan Central Cotton Committee (PCCC) with the Pakistan Agricultural Research Council (PARC), approved by the Federal Cabinet under the government’s rightsizing policy. Despite the passage of one and a half years, the process remains incomplete.

Notably, the PCCC had already implemented rightsizing before the merger, reducing its workforce to 27%, well beyond the government’s 50% reduction target. Despite this, delays in completing the merger reflect inefficiency in decision-making.

At the policy level, a significant imbalance persists: imported cotton enjoys relative tax relief, while locally produced cotton faces higher taxes and costs. This disparity discourages domestic production and weakens the entire cotton value chain, affecting farmers, ginners, and the broader economy.

Aamer Bhandara further said global supply chain disruptions and evolving geopolitical dynamics have increased the risk of volatility in cotton availability and pricing.

In the event of constrained or expensive imports, Pakistan could face serious raw material shortages. Countries with strong domestic production capacity will be better positioned, making cotton self-reliance not just an economic priority but a strategic necessity.

Pakistan’s textile sector is already under pressure from rising input costs, energy challenges, and intense global competition. Any further decline in local cotton availability will directly impact exports, reduce foreign exchange inflows, and place additional strain on the national economy.

Failure to act decisively at this stage could deepen the cotton crisis, with far-reaching consequences for agriculture, industry, exports, and Pakistan’s broader economic and strategic stability.

The time has come to place cotton at the top of the national agenda and address it through a coordinated, long-term policy framework, Aamer concluded.

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The latest figures regarding textile exports are deeply alarming. February witnessed a severe blow to textile exports, which plummeted to their lowest level in ten months, a development that serves as a gravely serious indicator for the national economy and the industrial sector.

On the agricultural front, early sowing of cotton has partially commenced in the fertile regions of Sindh and Punjab. In this regard, it is worth noting that the Federal Committee of Agriculture issues its initial estimates for cotton production every year, much like it does for other crops. However, the experience of several past years clearly demonstrates that the committee’s estimates bear little resemblance to ground realities, and actual production has consistently fallen far short of these projections. Against this backdrop, a respectful appeal is being made to the current officials of the committee to refrain from making paper-based estimates while sitting in air-conditioned offices and instead conduct direct on-ground assessments so that they may present estimates rooted in reality, thereby restoring their credibility and public trust.

The domestic textile sector is currently engulfed in a severe crisis. More than one hundred and fifty textile mills have shut down, while the escalating tensions in the region have further complicated the situation. The ongoing military tensions between Iran, Israel and the United States are causing regional conditions to deteriorate from bad to worse, the effects of which are being directly felt by Pakistan’s textile industry. In light of this situation, the Pakistan Textile Council has appealed to the government to immediately consider tariff relief and other temporary facilitations in order to protect this vital industry from further damage.

On another front, brokers of the Karachi Cotton Association have expressed serious concern, stating that the Federal Investigation Agency proceeded to establish its offices within the KCA building even before the reserved judgment of the honourable Sindh High Court had been announced. The brokers are demanding that the honourable Sindh High Court take serious notice of this action by the FIA and ensure that the matter is addressed in a fair and just manner.

The local cotton market witnessed continued price stability throughout the past week. Although cotton stocks are gradually depleting as the season has concluded, a few hundred thousand bales remain in the possession of ginners, while several thousand bales are held by two private companies, whose trading activity continues intermittently.

Cotton sowing is expected to commence once the wheat harvest is complete. Reports are already emerging from certain fertile regions of Sindh and Punjab indicating that early-crop cotton cultivation has begun. The Punjab Agriculture Department has allocated 700,000 acres for early-variety cotton cultivation this season.

Every year, the Federal Committee on Agriculture announces its initial production estimates for cotton and other crops. However, experience over the past several years has demonstrated that the committee’s projections have consistently fallen short of accuracy, with actual cotton output proving significantly lower than officially estimated figures. In this regard, the committee’s current officials are respectfully urged to refrain from issuing production estimates from the comfort of air-conditioned offices and to instead base their assessments on ground realities, so that public confidence in their projections may be restored.

On the broader economic front, the textile sector continues to face a serious crisis, with several mills having already shut down operations. The regional situation has further deteriorated due to the ongoing conflict involving Iran, Israel, and the United States, which has compounded existing economic difficulties.

Financial stress in the markets remains severe. Business activity has also slowed down owing to the holy month of Ramadan, with trade particularly subdued during the current final ten days of the month. A recovery in commercial activity is anticipated following the conclusion of Ramadan.

In terms of pricing, cotton rates across Sindh and Punjab are currently ranging between Rs. 15,500 and Rs. 16,500 per maund, varying according to quality and payment conditions.

The Karachi Cotton Exchange building has been sealed by the Evacuee Trust Property Board (ETPB), with the assistance of the Federal Investigation Agency (FIA) for the past three months, as a result of which the critically important daily cotton spot rate has not been able to be issued, causing significant disruption to the cotton trade.

According to registered brokers of the Karachi Cotton Association (KCA), the FIA began opening its offices within the KCA building before the reserved judgment of the honourable Sindh High Court was announced. The brokers have expressed that the honourable Sindh High Court should take this action by the FIA very seriously, as it raises concerns about due process and the sanctity of pending judicial proceedings.

Chairman of the Karachi Cotton Brokers Forum, Naseem Usman, stated that relative stability continues to prevail in the international cotton market. New York cotton futures are currently trading between 65.50 and 69.50 US cents per pound.

According to the USDA weekly export and sales report, a total of 253,200 bales were sold for the marketing year 2025–26. Vietnam led all buyers by purchasing 116,300 bales, followed by Bangladesh in second place with 28,200 bales, while Pakistan came in third with purchases of 22,200 bales.

For the 2026–27 marketing year, total sales stood at 36,600 bales. Vietnam again topped the list with 15,100 bales, Turkey followed in second place with 13,200 bales, and Bangladesh ranked third with purchases of 7,700 bales.

On the export shipments side, a total of 370,100 bales were exported during the reported period. Vietnam remained the leading importer, receiving 148,500 bales, while Pakistan ranked second with imports of 47,000 bales, and Turkey came in third place with 35,500 bales.

Pakistan’s textile exports suffered a major blow in February 2026, plunging to their lowest level in ten months. According to sources, textile exports recorded a decline of 23.56 percent on a monthly basis and 6.34 percent on an annual basis, bringing the total to 1.33 billion dollars. In comparison, textile exports stood at 1.42 billion dollars in February 2025 and 1.74 billion dollars in January 2026. Notably, this decline was recorded even before the regional tensions took effect, and there are concerns that exports may fall further in March due to the deteriorating situation in the region.

On the global front, a recent American report indicates that world cotton production for the 2025/26 season is expected to rise by approximately 1.1 million bales, reaching 121 million bales. This increase is largely driven by higher output in Brazil and China, though a decline in Argentina’s production is partially offsetting these gains.

Global cotton consumption is estimated at approximately 118.6 million bales, slightly lower than previous projections, as demand has weakened in Pakistan, Bangladesh, Mexico, and Vietnam. However, increased consumption in China is helping to compensate for part of this shortfall.

World cotton trade is projected to expand to around 43.9 million bales, primarily due to a rise in Australian exports and higher imports by India, while imports from Pakistan, Bangladesh, and Vietnam have declined.

Copyright Business Recorder, 2026

Formed with the support of Sindh Community Foundation (SCF), the federation marks a significant milestone in organizing women agricultural workers in the cotton sector and strengthening their collective voice.

The event brought together leaders of newly formed trade unions, labour rights advocates, and development practitioners who emphasized the importance of collective organization for women agricultural workers. Speakers highlighted that unionization provides women cotton workers with a stronger platform to demand fair wages, improved working conditions, occupational safety, and access to social protection areas where informal rural workers often remain excluded. Speaking on the occasion, Javed Hussain, Executive Director of Sindh Community Foundation, termed the formation of the federation a historic step for grassroots women agriculture workers in Sindh. He said women cotton workers play a vital role in the agricultural economy but remain largely invisible in labour systems. He added that strong unions and collective organization will help women workers raise their voices for fair wages, safe working conditions, and recognition of their labour.

Labour rights activist Taj Maree appreciated the leadership and determination of rural women workers who have organized themselves despite social and economic challenges. He said that the formation of unions and federations is a crucial step toward ensuring dignity, respect, and justice for women workers in the agricultural labour system.

Zubaida Turk highlighted the need for sustained policy attention to improve labour protection for women working in the cotton sector, noting that women workers continue to face low wages, unsafe working conditions, and limited implementation of labour related legislation.

Hira Arain emphasized the importance of women’s economic empowerment initiatives to strengthen livelihoods and resilience in rural communities.

Women cotton worker leader Zubaida Machi, representing the federation, said the federation will unite women cotton workers and provide a collective platform to raise their concerns.

Copyright Business Recorder, 2026

Cotton prices remained stable in the market, though overall trade volume stayed limited. Analysts note that market activity has been sluggish, with both buyers and sellers adopting a cautious approach amid prevailing economic uncertainties.

The industrial sector is facing mounting challenges as an alarming increase of Rs. 55 per litre in petrol and diesel prices, a rise in electricity tariffs, and gas supply disruptions have collectively put industrial production at serious risk. The energy crisis has particularly hit the textile sector hard, with the production capacity of several mills adversely affected.

On the agricultural front, early sowing of cotton has begun in the fertile zones of Sindh and Punjab. Farmers are engaged in preparations for the upcoming season, though the current economic climate has left many of them anxious about the road ahead.

Regional tensions continue to cast a shadow over the textile industry, which is facing serious apprehensions. Disruptions to export orders and obstacles in supply chains have left industrialists in a state of uncertainty about future prospects. Industry representatives have called upon the government to take immediate and meaningful steps to address the crisis.

The All Pakistan Textile Mills Association (APTMA) has demanded that the super tax be adjusted against refunds owed to the industry. According to APTMA, such a measure would provide the industry with much-needed financial relief and help resolve the ongoing liquidity crisis faced by textile manufacturers.

Cotton growers are under severe pressure due to the imposition of General Sales Tax (GST) and are demanding the complete elimination of GST on all cotton produce. Farmers argue that this tax has negatively impacted their income and profit margins, and that they are fighting for survival in an increasingly competitive market environment.

A significant development took place on March 4th in the Sindh High Court regarding the Cotton Exchange Building dispute. The honourable court reserved its judgment after hearing arguments from both parties. This case has attracted considerable interest within cotton industry circles, and all stakeholders are now awaiting the court’s decision.

The local cotton market witnessed overall price stability during the past week, though trading volumes remained relatively low. Cotton stocks continue to decline on a daily basis.

The Pakistan Cotton Ginners Association has released its final production figures up to February 28, revealing that total cotton output this year reached 5,607,433 bales, reflecting a 1.5 percent increase compared to the same period last year. Sindh province recorded a production of 2,950,000 bales, while Punjab contributed 2,750,000 bales, meaning Sindh has once again surpassed Punjab in cotton production. Punjab’s output declined by 2.2 percent, whereas Sindh posted a 4.6 percent increase in production.

The Pakistani textile industry is facing serious concerns amid escalating regional tensions stemming from the Iran-US-Israel conflict. The All Pakistan Textile Mills Association (APTMA) formally expressed these apprehensions on Wednesday. Cotton farmers are also under pressure due to the imposition of GST on cotton, and they are demanding the complete removal of this tax across all cotton production.

The ongoing regional conflict has driven energy prices higher, and gas supplies to several industries are expected to be reduced. These developments are likely to further burden the textile sector, which is already grappling with a severe crisis.

In a separate but significant development, the Evacuee Trust Property Board (ETPB), with the assistance of the Federal Investigation Agency (FIA), has taken possession of the Cotton Exchange Building. The Sindh High Court reserved its judgment on March 4 after hearing arguments from both parties. During the proceedings, Justice Adnan questioned why the FIA was involved, noting that an administrative dispute of this nature was not within its jurisdiction. The court also observed that the building falls under evacuee property and that provincial law exists in Sindh to govern such matters. The counsel representing the Karachi Metropolitan Corporation argued that since Sindh’s own law is applicable, it was improper for a federal body to have issued a notice in the matter.

Cotton prices across Sindh and Punjab are currently trading between 15,500 and 16,500 rupees per maund, depending on quality and payment conditions.

Due to the ongoing dispute over the Cotton Exchange Building, the critically important Daily Cotton Spot Rate has not been published for the past three months.

Karachi Cotton Brokers Forum Chairman Naseem reported that international cotton prices remained broadly stable, with New York cotton futures trading between 64 and 68 US cents per pound.

According to the USDA weekly export and sales report, a total of 150,400 bales were sold for the marketing year 2025-26. Vietnam led all buyers by purchasing 50,800 bales, followed by Pakistan in second place with 27,900 bales, while Mexico ranked third with purchases of 14,400 bales.

For the 2026-27 marketing year, total sales stood at 54,600 bales. Indonesia topped the list with 26,400 bales, Mexico came in second with 20,800 bales, and Vietnam placed third with 6,600 bales.

Total exports reached 282,200 bales during the reported period. Vietnam was the leading importer, receiving 94,600 bales, while Pakistan ranked second with imports of 39,800 bales. Turkey followed in third place, importing 31,500 bales.

Sindh overtakes Punjab in cotton arrivals as overall output inches up to 5.61 million bales

PCGA data to Feb 28 shows Punjab arrivals down 2.2 percent, Sindh up 4.6 percent; textile mills take 5.19 million bales, ending stocks fall to 0.24 million

Pakistan’s cotton arrivals for the 2025-26 season edged up 1.6% year-on-year to 5.61 million bales, but Pakistan Cotton Ginners Association data shows the crop’s centre of gravity shifted to Sindh as Punjab posted a decline.

Consolidated arrivals reported by PCGA up to February 28 put last season’s output at 5.52 million bales. The latest tally shows a small national gain, driven by higher arrivals in Sindh that offset lower arrivals in Punjab.

Punjab’s arrivals at ginning factories were recorded at 2.69 million bales, down from 2.75 million bales a year earlier, a decline of about 2.2 percent. The data showed contractions across 11 of 21 districts, with Lodhran and Muzaffargarh recording the steepest drops of 75 percent and 52 percent, respectively.

Sindh, by contrast, reported arrivals of 2.95 million bales, up from 2.82 million bales in the previous season, translating into a 4.6 percent increase. Balochistan contributed around 0.19 million bales, according to the PCGA figures.

Based on the final season shares, Sindh accounted for about 52.6 percent of the national crop, while Punjab’s share was 48 percent and Balochistan’s contribution stood at around 3.4 percent.

PCGA data also showed the textile sector lifted 5.19 million bales during the season, while exporters and traders picked up about 0.18 million bales. Ending stocks at ginning factories were recorded at 0.24 million bales, down from 0.37 million bales at the same point last year, with 71 ginning factories still operating nationwide.

Arrivals during February 2026 were reported at 0.06 million bales, compared with 0.01 million bales in February 2025, pointing to higher late-season inflows as the crop year closed.

The Punjab govt is pushing farmers to grow more cotton. Can they hit their 7 lakh acre target?

Pakistan’s once rich cotton belt has dwindled over the years with water guzzling crops like sugar and rice taking up more and more land.

In cotton land, spring has come early. In Punjab, early sowing of cotton has started as part of a government-led campaign to encourage the expansion of acreage under cultivation. The Punjab government has set a target of bringing at least 700,000 acres of land under early-sown cotton in the divisions of Multan, Sahiwal, Faisalabad, Sargodha, and DG Khan. Multan Division alone is marked for 315,000 acres of such cotton.

For all this, it must be mentioned that this government push is not part of an immemorial tradition, but a recent phenomenon. The government launched this drive in 2025, when it announced a 2.5 billion plan to encourage early cotton cultivation, by providing eligible farmers with financial incentives. These mainly took the form of Rs 25,000 per five acres of cotton sown earlier in the season.

The All Pakistan Textile Mills Association (APTMA) has once again formally urged the Federal Board of Revenue (FBR) to allow textile exporters to adjust their super tax liabilities against their pending tax refunds, warning that the industry’s current financial condition makes a lump-sum payment practically impossible.

In a letter dated March 6 addressed to FBR Chairman Rashid Mahmood Langrial, APTMA Chairman Kamran Arshad stated that despite prior correspondence on the matter, field-level tax authorities continue to insist on the full and immediate payment of super tax dues in a single installment. He emphasized that this rigid stance is placing an undue financial burden on textile mills that are already operating under severe economic strain.

APTMA clarified that while the textile industry fully respects and acknowledges the Supreme Court of Pakistan’s ruling regarding the imposition of super tax under Section 4C of the Income Tax Ordinance, the present financial circumstances of textile mills do not allow them to discharge all liabilities at once. The association argued that permitting adjustment of super tax dues against outstanding refunds would be a practical and equitable solution that does not compromise the industry’s legal obligations.

In a related development, industrialists have raised serious concerns over the twin pressures of rising electricity tariffs and gas supply disruptions, warning that these factors are collectively threatening industrial production across the country. Manufacturers have called on the government to urgently address these issues, stating that the continued increase in power prices and the suspension of gas supply are compounding the financial difficulties already faced by the industrial sector.

The association further demanded that the government immediately suspend the carbon levy and Petroleum Development Levy currently imposed on furnace oil on an emergency basis, arguing that these additional charges are rendering industrial operations increasingly unviable at a time when the sector is already struggling to stay afloat.

The All Pakistan Textile Mills Association (APTMA) has urged Commerce Minister Jam Kamal to take immediate measures to safeguard the country’s export sector amid regional energy supply disruptions.

In a letter addressed to the minister, the APTMA chairman drew attention to the ongoing geopolitical crisis in the region and the disruption of shipping through the Strait of Hormuz. The situation, the association warned, is constraining the supply of oil and LNG to Pakistan, posing serious risks to the power sector and industrial energy security.

APTMA stated that Pakistan’s current account deficit is expected to widen due to rising oil and LNG prices, while supply availability remains uncertain. At the same time, higher energy costs will directly undermine the competitiveness of the export sector. “This creates a double impact on the economy,” the association noted. “The dollar value of imports will increase significantly, while exports — already under pressure — will face further risk.” The association cautioned that even if the conflict stabilizes in the coming weeks, disruptions in energy supply chains and elevated prices are likely to persist for several months. This, it said, poses a serious challenge for export-oriented industries that depend on reliable and reasonably priced energy.

APTMA has sought the commerce minister’s intervention to protect industrial exports through the following immediate measures: (i) immediate suspension of the Carbon Levy and the Petroleum Development Levy on Residual Fuel Oil (RFO), making it a financially viable option for captive power generation by export industries. The association noted that, given current disruptions in international supply chains, the export of surplus RFO is unlikely in the near term, ensuring adequate domestic availability; and (ii) increased production from domestic gas fields and its allocation to the power sector. According to APTMA, the power sector currently relies heavily on imported LNG — particularly from Qatar — the supply of which is facing serious disruption amid the present crisis. Enhancing domestic gas utilization would help reduce reliance on expensive and uncertain LNG imports.

“Timely action on these measures can help maintain energy availability for export industries and prevent a further decline in Pakistan’s export earnings during a period of external stress,” the APTMA chairman stated.

The Sindh High Court reserved its judgment on Tuesday in the Karachi Cotton Exchange building dispute case, hearing multiple petitions related to the sealing of the iconic commercial premises.

During the proceedings, the court noted that the Federal Investigation Agency had indicated its willingness to convert the case into an inquiry. However, the petitioner’s counsel challenged this proposition, arguing that the FIA lacked the legal authority to conduct such an inquiry in the first place.

Justice Adnan ul Karim Memon, addressing the petitioner’s lawyer, remarked that if the FIA’s option was not acceptable to him, the existing case would remain intact. The trader’s counsel urged the court to order the unsealing of the Cotton Exchange building until the question of jurisdiction was formally resolved.

Justice Memon further questioned why the FIA had taken such a keen interest in this matter, emphasizing that the FIA is an investigative body rather than a law enforcement agency and that administrative or property disputes do not fall within its mandate.

The counsel representing the Evacuee Trust Property Board clarified that it was the Board that had sealed the Cotton Exchange building and that the FIA had merely provided assistance in the process. The KMC’s lawyer argued that even if the building were classified as evacuee property, the matter remained a provincial concern.

Justice Memon then raised a pointed question, asking how a federal agency could have issued a notice when Sindh’s own provincial law was already in place to govern such matters.

After hearing arguments from all sides, the court reserved its judgment on the various petitions filed in connection with the case.

Copyright Business Recorder, 2026

The meeting advised that farmers should complete thinning of early-sown cotton within 25 to 30 days after sowing, which helps maintain proper plant spacing and the required plant population per acre. Phosphorus fertiliser should be applied after thinning either through irrigation, by placing it in the furrows followed by watering, or by applying it in moist soil conditions and running a hoeing plough in the furrows.

Sajid Mahmood Head Transfer of Technology Central Cotton Research Institute Multan told Business Recorder that the recommended phosphorus fertiliser dose is one bag of DAP, or one bag of TSP, or three bags of SSP per acre, or two bags of NP per acre.

In fields where the problem of red cotton leaves is observed, farmers are advised to apply one bag of potassium and 10 to 15 kilograms of magnesium per acre after thinning. It was noted that the reddening of cotton leaves is mainly caused by the deficiency of potassium and magnesium.

The meeting placed special emphasis on soil analysis to ensure balanced fertiliser application, enabling farmers to plan fertiliser use more effectively according to soil test reports. For land preparation, farmers were advised to use a laser land leveler to conserve irrigation water and fertilisers. Properly leveled fields prevent rainwater from stagnating, thereby protecting the crop from diseases.

To improve the fertility of weak soils, farmers were advised to apply at least five trolley loads of farmyard manure per acre, or incorporate a green manure crop into the soil 30 days before sowing. For land preparation, it was also recommended to use a chisel plough to break the hardpan layer so that plant roots can penetrate deeper into the soil.

Before the start of sowing, farmers were advised to arrange 10 percent additional seed to ensure availability for gap filling. Farmers should purchase approved and healthy seed only from reliable institutions or corporations, giving preference to Triple Gene varieties, as these offer better resistance against pink bollworm and glyphosate.

For early cotton cultivation on bed and furrows, 6 to 8 kilograms of delinted seed per acre with a minimum germination rate of 75 percent should be used. To protect the crop from sucking pests during the first 40 days, it is essential to treat the seed with a mixture of Imidacloprid and Tebuconazole (10 ml per kilogram of seed).

For off-season management of the Dusky Cotton Bug, farmers should prune plants around fields wherever the pest is observed. This pest is commonly found on China rose, berry, and moringa trees. During early sowing, considering the plant’s spreading and bush-forming ability, a minimum plant-to-plant distance of one and a half feet should be maintained. In saline soils, farmers should adopt ridge sowing.

For effective weed control, farmers are advised to apply Pendimethalin (1 liter per acre) before sowing and S-metolachlor (800 ml per acre) immediately after sowing in moist soil conditions. Cotton should not be cultivated in fields where okra or eggplant crops are already present.

For off-season management of pink bollworm, it is extremely important to turn cotton sticks twice a week and remove the debris present beneath the heaps.

The meeting was attended by heads of various departments including Dr Muhammad Naveed Afzal, Sajid Mahmood, Dr Muhammad Akbar, Dr Rabia Saeed, Dr Farzana Akbar, Dr Asia Parveen, Mian Muhammad Azam, Dr Noor Muhammad, and Junaid Ahmed Daha, scientific officers.

The third meeting of the Farmers Advisory Committee will be held at the institute on 16th March.

Copyright Business Recorder, 2026

The All Pakistan Textile Mills Association (APTMA) has issued a clear warning that no further textile mills should be allowed to shut down, as the textile sector is already passing through severe difficulties. The association cautioned that if timely measures are not taken, the industrial crisis could deepen significantly and cause irreversible damage to one of the country’s most vital economic sectors.

Against this backdrop, Federal Minister of Finance Muhammad Aurangzeb has promised to introduce reforms in the cotton and textile sector within the next ten to twelve days. Similarly, Federal Minister of Commerce Jam Kamal Khan has assured a delegation of textile exporters that the issues facing the value-added textile sector will be given thorough and detailed consideration. The delegation also brought to the Commerce Minister’s attention the serious financial hardships being faced by exporters due to prolonged delays in the processing of refunds.

As cotton stocks continue to decline, textile mills have significantly increased their cotton imports in order to ensure that their production processes remain uninterrupted. On another front, the Central Cotton Research Institute (CCRI) Multan has issued its preliminary recommendations regarding the early sowing of cotton crops, aimed at supporting better agricultural planning for the upcoming season.

A deeply alarming situation has emerged in connection with the Karachi Cotton Exchange Building. The Evacuee Trust Property Board (ETPB), with the assistance of the Federal Investigation Agency (FIA), has kept the building sealed for eighty consecutive days, as a result of which approximately five thousand employees associated with 320 registered cotton brokers and tenants have been rendered jobless and unemployed. The brokers themselves find themselves in a helpless situation with no support available from any quarter. This prolonged closure has also suspended the Daily Cotton Spot Rate for eighty days, a figure of critical importance to the entire cotton trade, severely disrupting market operations across the board. The hearing of this matter before the honourable Sindh High Court is scheduled for the fourth of March.

The local cotton market witnessed overall price stability throughout the past week. Textile spinners continue to show keen interest in procuring quality cotton, which has helped sustain firm prices in that segment. Ginners, who had previously stockpiled quality cotton, are now showing willingness to offload their inventory, resulting in a relatively higher trading volume during the week. This uptick in activity is largely attributed to the gradual depletion of available cotton stock in the market.

However, the broader textile sector remains in a troubled state. The industry is grappling with multiple challenges simultaneously, including high energy costs, elevated interest rates, non-payment of substantial refunds, heavy taxation, super taxes, and the newly imposed Sindh Infrastructure Cess, all of which have made it virtually impossible to compete with regional countries. The cost of doing business has risen to an unsustainable level. On the international front, imports of Pakistani textile products by Europe and the United States have declined significantly, while demand and prices for value-added goods have also weakened. Most spinners report that yarn sales are extremely sluggish, compounded by a severe payment crisis that has triggered widespread financial stress across the market. The ongoing month of Ramadan has further contributed to the slowdown in business activity.

Adding to the sector’s woes, the Karachi Cotton Exchange building has remained sealed for 80 consecutive days by the Evacuee Trust Property Board with the assistance of the FIA. As a result, approximately 5,000 employees associated with 320 registered cotton brokers and tenants have been rendered unemployed and idle, while the brokers themselves have been left without any support or recourse. The closure has also suspended the publication of the daily cotton spot rate, a critically important market benchmark, for the same period. The next hearing of the case before the honourable Sindh High Court is scheduled for March 4th.

Early cotton sowing has commenced in selected areas of Sindh and Punjab provinces. The Punjab Agriculture Department has allocated seven hundred thousand acres for early cotton cultivation, of which 315,000 acres have been designated for Multan Division alone.

Cotton prices in Sindh and Punjab are currently ranging between Rs 15,400 and Rs 16,600 per maund, depending on quality and payment conditions. The prices of cottonseed cake and oil remain stable.

Karachi Cotton Brokers Forum Chairman Naseem Usman reported that the international cotton market witnessed relative stability. New York cotton futures traded between 65 and 69 US cents per pound. According to the USDA weekly export and sales report, a total of 253,200 bales were sold for the marketing year 2025-26. Bangladesh led all buyers with purchases of 70,700 bales, followed by India at 59,700 bales, while Pakistan ranked third with 57,400 bales.

For the 2026-27 marketing year, 29,700 bales were sold, with Malaysia topping the list at 22,000 bales and Vietnam ranking second with 7,700 bales. Total exports stood at 193,000 bales, with Vietnam leading imports at 74,200 bales, Pakistan second at 21,300 bales, and Turkey third at 17,300 bales.

Meanwhile, the All Pakistan Textile Mills Association (APTMA) has once again stated firmly that no further textile mills should be forced to shut down in Pakistan, warning that the sector is currently passing through severe difficulties. APTMA has also raised concerns over the refund issue, noting that the Federal Board of Revenue is employing delaying tactics in releasing refunds, which is depleting the working capital of mills and deepening the financial crisis. Industry observers stressed that making the textile sector profitable is now critical to safeguarding employment. The banking sector has also withdrawn its support from textiles in light of prevailing challenges, further compounding the problems. Six days ago, the Finance Minister had promised textile stakeholders that he would bring about significant improvements for the sector within ten to twelve days, and the industry remains hopeful that this commitment will be honoured.

In Islamabad, a delegation of textile exporters met with Federal Minister for Commerce Jam Kamal Khan to discuss in detail the challenges facing the value-added textile sector, particularly highlighting the financial difficulties caused by delays in refund disbursements.

On the cultivation front, the Punjab government has set a cotton sowing target of 315,000 acres in Multan Division under the early sowing program for the 2026-27 season. This target was announced in a meeting chaired by Aamir Karim Khan, Commissioner Multan Division, attended by senior officials of the Agriculture Department. Additionally, the Central Cotton Research Institute Multan has issued its preliminary recommendations for early cotton cultivation in the region.

The first Cotton Advisory meeting of the Technical Advisory Committee was held at the Central Cotton Research Institute (CCRI), Multan, under the chairpersonship of Director Sabahat Hussain. During the meeting, preliminary fortnightly recommendations were issued to guide farmers for the successful cultivation of early-sown cotton. Agricultural experts emphasized that, in view of the prevailing climatic and production conditions, early sowing is critically important for achieving higher yields and ensuring crop protection during the initial growth stage.

In this regard, Sajid Mahmood, Head of the Technology Transfer Department at CCRI Multan, stated that these recommendations have been developed in consultation with experts to enable farmers to make timely decisions in accordance with modern agronomic principles. He advised farmers to conduct soil testing prior to sowing and to apply balanced fertilizers based on the test report to ensure healthy early crop development.

According to agricultural experts, land vacated after the harvesting of potato and mustard is suitable for early cotton cultivation, while relay cropping in standing onion and melon crops can also prove to be a profitable option. For optimum plant growth and proper canopy development, maintaining a plant-to-plant spacing of at least one and a half feet has been recommended.

Sajid Mahmood further explained that for proper land preparation, a chisel plough should be used to break the hard subsurface layer, and laser land leveling should be preferred for efficient utilization of irrigation water and fertilizers. He added that ridge sowing is more effective in preventing waterlogging after rainfall, while the application of at least five trolley loads of farmyard manure per acre or the use of green manure can help improve soil fertility.

Experts have stressed the need for special care in seed selection and advised farmers to procure only approved and healthy seed from reliable sources, giving preference to triple-gene varieties. Seed cleaning, germination testing, and seed treatment with a mixture of imidacloprid and tebuconazole have been declared essential to protect the crop from sucking pests during the first forty days. Timely application of pendimethalin and S-metolachlor has also been recommended for effective weed control.

He further advised that cotton should not be cultivated in fields where okra or brinjal had previously been grown. For off-season management of pink bollworm, it is essential to destroy crop residues, regularly turn cotton sticks, and keep the fields clean.

Sajid Mahmood stated that the institute is ensuring the effective dissemination of these modern recommendations through field visits, training programs, and media outreach so that farmers can receive timely scientific guidance and promote early cotton cultivation. Implementation of these recommendations will not only increase per-acre yield but will also contribute to improving overall national cotton production and provide positive support to the country’s textile sector.

Copyright Business Recorder, 2026

The meeting focused on presenting comprehensive fortnightly recommendations aimed at guiding farmers toward the successful cultivation of early-sown cotton.

Experts at the meeting placed special emphasis on the necessity of soil testing prior to sowing, urging farmers to apply balanced fertilizers strictly in accordance with analytical soil reports.

The committee recommended prioritizing early sowing on vacant lands or areas left fallow following the harvesting of potato and mustard crops. Relay cropping in standing onion and melon crops was also highlighted as a potentially profitable agricultural option.

Speaking to Business Recorder, Head of Transfer of Technology at CCRI Multan, Sajid Mahmood, elaborated on several technical aspects of early cotton cultivation. He noted that considering the plant’s growth habit and branching potential during the early cultivation phase, farmers should maintain a minimum plant-to-plant spacing of one and a half feet.

On land preparation, he advised the use of a chisel plough to break the hard pan layer beneath the soil surface, which would facilitate deeper root penetration. The use of a laser land leveler was declared essential to ensure efficient irrigation, conservation of fertilizers and effective disease prevention.

Sajid further stated that Bed and Furrow sowing was recommended over conventional drill sowing to facilitate proper drainage following rainfall, adding that this method was also considered more suitable for saline soils. To enhance soil fertility in weaker lands, farmers were advised to apply a minimum of five trolley loads of farmyard manure per acre, or alternatively to incorporate green manure crops into the soil at least 30 days before sowing.

On the matter of seed selection and quality, the committee recommended that farmers procure only certified and healthy seed from reputable sources, with preference given to Triple Gene varieties owing to their improved resistance against pink bollworm and glyphosate. Before sowing, seeds should be cleaned through mechanical grading machines or pedestal fans to eliminate light and weak seed, and germination testing was declared mandatory.

For early cotton cultivation on ridges, six to eight kilograms per acre of delinted seeds with a minimum germination rate of 75 percent were recommended. To protect the crop from sucking pests during the critical first 40 days, seed treatment with a mixture of Imidacloprid and Tebuconazole at 10 milliliters per kilogram of seed was deemed essential.

At the time of sowing, seeds should be placed at a depth of one to one and a half inches, with multiple seeds per hill lightly covered with soil. On ridges, irrigation water levels should be maintained one inch below the seed placement level. For effective weed management, the application of Pendimethalin at one liter per acre before sowing, and S-Metolachlor at 800 milliliters per acre immediately after sowing in moist soil conditions, was strongly recommended.

As a precautionary measure, the committee advised farmers against cultivating cotton in fields where okra or brinjal crops are already present.

Regarding off-season management of pink bollworm, it was stressed that cotton sticks should be turned twice weekly and that debris accumulated beneath heaps must be thoroughly destroyed.

The meeting was attended by heads of various departments, including Dr Muhammad Naveed Afzal, Sajid Mahmood, Dr Muhammad Akbar, Dr Rabia Saeed, Dr Farzana Akbar, Mian Muhammad Azam, Dr Muhammad Tariq, Dr Noor Muhammad and Junaid Ahmad Daha, Scientific Officer.

The second meeting of the Farmers Advisory Committee is scheduled to be held at the institute on March 1.

Copyright Business Recorder, 2026

The meeting focused on presenting comprehensive fortnightly recommendations aimed at guiding farmers toward the successful cultivation of early-sown cotton.

Experts at the meeting placed special emphasis on the necessity of soil testing prior to sowing, urging farmers to apply balanced fertilizers strictly in accordance with analytical soil reports.

The committee recommended prioritizing early sowing on vacant lands or areas left fallow following the harvesting of potato and mustard crops. Relay cropping in standing onion and melon crops was also highlighted as a potentially profitable agricultural option.

Speaking to Business Recorder, Head of Transfer of Technology at CCRI Multan, Sajid Mahmood, elaborated on several technical aspects of early cotton cultivation. He noted that considering the plant’s growth habit and branching potential during the early cultivation phase, farmers should maintain a minimum plant-to-plant spacing of one and a half feet.

On land preparation, he advised the use of a chisel plough to break the hard pan layer beneath the soil surface, which would facilitate deeper root penetration. The use of a laser land leveler was declared essential to ensure efficient irrigation, conservation of fertilizers and effective disease prevention.

Sajid further stated that Bed and Furrow sowing was recommended over conventional drill sowing to facilitate proper drainage following rainfall, adding that this method was also considered more suitable for saline soils. To enhance soil fertility in weaker lands, farmers were advised to apply a minimum of five trolley loads of farmyard manure per acre, or alternatively to incorporate green manure crops into the soil at least 30 days before sowing.

On the matter of seed selection and quality, the committee recommended that farmers procure only certified and healthy seed from reputable sources, with preference given to Triple Gene varieties owing to their improved resistance against pink bollworm and glyphosate. Before sowing, seeds should be cleaned through mechanical grading machines or pedestal fans to eliminate light and weak seed, and germination testing was declared mandatory.

For early cotton cultivation on ridges, six to eight kilograms per acre of delinted seeds with a minimum germination rate of 75 percent were recommended. To protect the crop from sucking pests during the critical first 40 days, seed treatment with a mixture of Imidacloprid and Tebuconazole at 10 milliliters per kilogram of seed was deemed essential.

At the time of sowing, seeds should be placed at a depth of one to one and a half inches, with multiple seeds per hill lightly covered with soil. On ridges, irrigation water levels should be maintained one inch below the seed placement level. For effective weed management, the application of Pendimethalin at one liter per acre before sowing, and S-Metolachlor at 800 milliliters per acre immediately after sowing in moist soil conditions, was strongly recommended.

As a precautionary measure, the committee advised farmers against cultivating cotton in fields where okra or brinjal crops are already present.

Regarding off-season management of pink bollworm, it was stressed that cotton sticks should be turned twice weekly and that debris accumulated beneath heaps must be thoroughly destroyed.

The meeting was attended by heads of various departments, including Dr Muhammad Naveed Afzal, Sajid Mahmood, Dr Muhammad Akbar, Dr Rabia Saeed, Dr Farzana Akbar, Mian Muhammad Azam, Dr Muhammad Tariq, Dr Noor Muhammad and Junaid Ahmad Daha, Scientific Officer.

The second meeting of the Farmers Advisory Committee is scheduled to be held at the institute on March 1.

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These concerns were highlighted during the 17th Coordination Committee meeting of the Seed Production & Development Centre (SPDC) held at Sindh Agriculture University (SAU), Tandojam, chaired by Vice Chancellor Engr. Prof. Dr. Altaf Ali Siyal.

Participants noted that Pakistan’s cotton output has fallen sharply in recent years, with national seed cotton arrivals standing at 5.45 million bales in 2024–25, down from historical highs of over 14 million bales, indicating a steep decline in production, particularly in Sindh and Punjab.

Addressing the meeting, Dr. Siyal emphasized that the shortage of certified seed remains a major constraint not only for cotton but also for wheat and other key crops. He stated that the university is actively conducting research on high-yield and disease-resistant varieties and is playing a pivotal role in connecting research institutions, regulatory authorities, and the private sector. “Sustainable solutions can only be achieved through collective efforts to ensure quality seed reaches farmers directly,” he added.

Zahid Hussain Bhurgri, Acting President of the Sindh Chamber of Agriculture, warned that the lack of high-yield, disease-resistant, and climate-resilient seeds has made cotton cultivation increasingly unviable and has reduced Pakistan’s share in global cotton markets. “Production has fallen from nearly 14.1 million bales in past peak seasons to just 5.2–5.4 million bales, making immediate institutional support crucial,” he said, praising the quality of seeds produced at the SPDC farm and urging that research outcomes be disseminated to farmers through seminars and field days.

Dr. Hayat Ullah Tareen, Director Enforcement at the Federal Seed Certification & Registration Department (FSC&RD), lauded the successful production of foundation seeds for wheat, cotton, and mustard and recommended establishing certified plant nurseries at SAU’s Latif Farm under federal registration to strengthen the national seed system.

Meanwhile, Seyed Adil Rashidi, leader of the Sindh Farmers Board, raised concerns over poor-quality tomato seeds causing financial losses for farmers, while market rates remain unfairly set.

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The country’s textile industry, which was already grappling with severe financial distress, has now been dealt another blow in the form of a newly imposed super tax by the government, further deepening the crisis for industrialists across the sector. Officials of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) have stated that operating industries under the current circumstances has become not merely difficult but increasingly impossible. They have urged the government to immediately declare an industrial emergency in the country, warning that without urgent intervention, the consequences for the broader economy could be severe.

The plight of farmers is no less alarming. Khalid Khokhar, Chairman of Kisan Ittehad, spoke in a deeply distressed tone in a public statement, saying that growers of cotton and all other crops are effectively on a ventilator, adding that even the cost of seeds is not being recovered after selling the harvest. He appealed to the government to take immediate and concrete measures to ensure the survival of the farming community, which he described as being pushed to the brink of collapse.

Meanwhile, the All Pakistan Textile Mills Association (APTMA) has sounded a serious warning that textile exports face grave threats, and has called upon the government to urgently pursue diplomatic efforts to secure special trade concessions from the United States so that Pakistani products can maintain their competitive edge in American markets.

On a separate but significant legal development, an important breakthrough has emerged in the case concerning the de-sealing of the Cotton Exchange building. The case registered against the Karachi Municipal Corporation (KMC) has been formally converted into an inquiry, the Federal Investigation Agency (FIA) has submitted its report before the court, and a new date has been fixed for the next hearing. The court, however, has made it clear that all interim orders issued previously will remain in force until further proceedings.

The local cotton market experienced a bearish trend throughout the past week, largely driven by declining international cotton prices. Buyers have been conspicuously absent from the market, a situation attributed primarily to falling demand for cotton yarn and fabric. Ironically, consumer spending on textiles traditionally picks up ahead of Ramadan, but persistent inflation and an ongoing financial crisis have left markets largely inactive, with households prioritizing food and basic necessities over clothing and other discretionary purchases.

The situation is equally grim in Faisalabad, Pakistan’s largest yarn market, where buyers have become a rare sight. Reports emerging from the city paint a picture of severe financial distress, with business activity reduced to a bare minimum.

The broader textile sector across the country is in a state of deep crisis. According to APTMA Chairman Kamran Arshad, approximately 150 textile units have already shut down, with more on the verge of closure. The primary causes cited include soaring energy costs, high interest rates, an excessive tax burden, and billions of rupees in stuck refunds that have rendered Pakistani manufacturers unable to compete with regional rivals. As if these challenges were not enough, the imposition of a super tax has added yet another financial burden to an industry already struggling to survive.

Officials of the FPCCI have stated that running industries under current conditions has become not just difficult but increasingly impossible. They have formally demanded the declaration of an industrial emergency, pointing out the contradiction in the government’s efforts to attract foreign investment while domestic industries are shutting down one after another. Several multinational companies have already ceased operations in Pakistan or relocated abroad, and local industrialists are also moving their businesses to other countries, driving unemployment and economic inactivity to alarming levels.

Meanwhile, Kisan Ittehad Chairman Khalid Khokhar expressed his anguish in a strongly worded statement, declaring that cotton and all other crop farmers are effectively on a ventilator, with returns from harvests failing to even cover the cost of seeds.

In a separate legal development, a case registered against the de-sealing of the Cotton Exchange building and against the KMC has been converted into a formal inquiry. The FIA has submitted its report to the court, a new hearing date has been set for further proceedings, and interim orders issued by the court will remain in force in the interim.

In the provinces of Sindh and Punjab, cotton prices are currently ranging between Rs. 15,000 and Rs 16,200 per maund, depending on quality and payment conditions. It is worth noting that the Daily Cotton Spot Rate has remained suspended since December 12, 2025.

Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, stated that international cotton prices are experiencing an overall bearish trend. New York cotton futures were recorded between 62 and 68 US cents per pound during the period under review.

According to the USDA Weekly Export and Sales Report, a total of 231,000 bales were sold for the marketing year 2025–26. Vietnam led all buyers with the purchase of 104,000 bales, followed by Turkey in second place with 45,900 bales. Pakistan ranked third, having purchased 32,900 bales.

For the 2026–27 marketing year, total sales stood at 50,900 bales.

An unknown destination topped the list with 22,000 bales, followed by Indonesia with 20,300 bales and Mexico with 8,500 bales in third place.

On the export side, shipments totalled 188,600 bales. Vietnam remained the leading importer with 69,700 bales received, while Pakistan followed in second place with 32,900 bales. Bangladesh ranked third with imports of 20,700 bales.

Meanwhile, the All Pakistan Textile Mills Association (APTMA) has raised serious concerns over the growing threat to Pakistan’s textile exports, warning that major competitor countries have already secured improved market access to the United States through new trade agreements. APTMA has urged the government to actively pursue and obtain special trade concessions from the United States to safeguard Pakistan’s position in the American market.

One of Pakistan’s leading industrial bodies, the All Pakistan Textile Mills Association (APTMA), on Wednesday urged the government to immediately initiate negotiations with the United States in order to secure preferential market access for Pakistan’s textile exports.

In a letter addressed to Federal Minister for Commerce Jam Kamal Khan, APTMA stated that the correspondence was being written in the context of recent trade developments that are significantly affecting Pakistan’s export competitiveness.

The association highlighted that major rival countries have already secured improved market access to the United States through new trade agreements. It pointed out that India has finalized arrangements with the US for a tariff rate of 18 percent, while Pakistan continues to face a rate of approximately 19 percent. In addition, the European Union and India have concluded a Free Trade Agreement (FTA), further widening the competitive gap.

APTMA also noted that Bangladesh has recently secured zero-tariff access to the American market for garments and apparel manufactured from US cotton, a development it described as posing a serious and immediate threat to Pakistan’s textile and clothing exports.

The association emphasised that Pakistan’s textile sector is already under severe pressure due to high energy and raw material costs, the highest interest rates in the region, heavy taxation, and an overall challenging business environment. It warned that improved market access enjoyed by competing nations, combined with their lower production costs, puts Pakistan’s export share in its largest market — the United States — at further risk of erosion.

APTMA proposed that the Ministry of Commerce seek tariff concessions from Washington on Pakistani textile and apparel exports made from US cotton, offering in return an increase in imports of American cotton. The association added that it had already reached out to the US Embassy in this regard, presenting the proposal for preferential market access.

Urging swift government action in view of the rapidly shifting competitive landscape, APTMA respectfully requested that the Government of Pakistan engage with American authorities to secure duty-free access for Pakistani textile and apparel products manufactured from US cotton.

The Federal Investigation Agency (FIA) informed the Sindh High Court on Friday that it has unsealed the Cotton Exchange building and converted the registered case against Karachi Metropolitan Corporation (KMC) officials into a preliminary inquiry, prompting the court to defer its reserved judgment and schedule a fresh hearing.

The two-member bench, headed by Justice Adnan Iqbal Chaudhry of the Sindh High Court, had already reserved its verdict in the matter but refrained from announcing it following a significant development brought to its attention before the pronouncement. Instead, the court fixed March 4 as the next date of hearing, while directing that all interim orders already in place would continue to remain in effect. Notices have been issued to all parties concerned for the upcoming proceedings.

According to the details of the case, the Karachi Cotton Exchange Association had filed a petition stating that in December 2025, the FIA conducted a raid on the Cotton Exchange building, evacuated all occupants, and subsequently sealed the premises on the grounds that it was classified as abandoned property.

In February 2026, the High Court had directed the FIA not to take any coercive action against KMC, the Karachi Cotton Exchange, or any other affected parties until further orders, following which the bench reserved its judgment.

However, before the verdict could be formally announced, the FIA submitted a written communication to the court informing it that the case registered in connection with the building had been converted into an inquiry. The agency further stated that proceedings would henceforth be conducted in accordance with the applicable rules and regulations, and that any formal case would only be registered upon approval from the competent authority.

In its observations, the court noted that while the judgment had already been reserved, an important development had emerged prior to its announcement, necessitating that the matter be relisted for hearing on March 4 so that the petitioners could be heard further. The court also made clear that all interim orders issued earlier would remain operative throughout this period.

Copyright Business Recorder, 2026