KARACHI: The local cotton market on Wednesday remained bullish and trading volume remained satisfactory. Cotton Analyst Naseem Usman told Business Recorder the rate of cotton in Sindh is in between Rs 13600 to Rs 13700 per maund. The rate of cotton in Punjab is in between Rs 13700 to Rs 13800 per maund.
The rate of the new crop of Phutti in Sindh was in between Rs 5500 to Rs 6100 per 40 Kg. The rate of Phutti in Punjab is in between Rs 5600 to Rs 6200 per 40 Kg. The rate of Banola in Sindh is in between Rs 1750 to Rs 1850 per maund. The rate of Banola in Punjab is in between Rs 1750 to Rs 1900 per maund. The rate of cotton in Balochistan is Rs 13500 to Rs 13600 per maund. The rate of Phutti in Balochistan is Rs 6000- 6300 per maund.
1200 bales of Shahdad Pur were sold at Rs 13,475 to 13,550 per maund, 1000 bales of Tando Adam were sold at Rs 13,500 to Rs 13,550 per maund, 1,200 bales of Sanghar were sold at Rs 13,475 to Rs 13,550 per maund, 600 bales of Mirpurkhas, 200 bales of Sarhari were sold at Rs 13500 per maund, 200 bales of Khipro were sold at Rs 13,475 per maund, 800 bales of Shah Pur Chakar were sold in between Rs 13,400 to Rs 13,500 per maund, 800 bales of Haroonabad, 600 bales of Chichawatni were sold at Rs 13,700 to 13,750 per maund, 400 bales of Burewala were sold at Rs 13,700 to Rs 13,750 per maund, 200 bales of Mian Chanu were sold at Rs 13,750 per maund, 200 bales of Hasil Pur, 200 bales of Samundri, 400 bales of Toba Tek Singh, 200 bales of Vehari, 200 bales of Bahawl Nagar, 200 bales of Faqeer Wali were sold at Rs 13,700 per maund and 200 bales of Gojra were sold at Rs 13,600 per maund.
Chairman of National Business Group Pakistan and President Pakistan Businessmen and Intellectuals Forum, Mian Zahid Hussain has said the government should assign some areas for cotton growing only to boost the cotton economy as farmers are switching to other crops. The demand by the growers to increase cotton intervention price should also be reviewed, he said.
Mian Zahid Hussain said that cotton growers were switching to sugarcane and other crops for years therefore the government should lure them towards cotton through benefits and slap a ban on cultivation of any other crop in areas allotted for cotton. He said that many growers have also switched to rice and now they are preferring hybrid rice over any other crop as its per acre output is almost three times higher than basmati and it fetches almost double money. Now the area under cultivation of rice has increased from 4.7 million acres to 5.5 million acres while it requires three months to ripe.
He informed that per acre yield of Basmati is almost 35 to 40 maund while the output of hybrid rice is around 150 maund. Planters get Rs70,000 to Rs80,000 for planting Basmati on an acre but the hybrid rice fetches them Rs140,000 to Rs160,000. For this reason, the area under cultivation of Basmati in Punjab has reduced by 15 percent and its exports have reduced from $800 million to $650 million.
Total rice exports have dropped from $2.2 billion to $2.04 billion, he said, adding that last year Indian rice exports suffered due to corona virus disruption but now it is ready to face Pakistan in the international market therefore the government should take all the stakeholders into the confidence to improve the situation.
Meanwhile, Vietnam has temporarily shut around 35 per cent of textile and garment factories due to COVID-19, says Vu Duc Giang, Chairman, Vietnam Textile and Apparel Association (VITAS). Duc Giang expects these factories to remain closed for a longer time as they do not have enough funds to pay for three-on-site working arrangements to support employees to return to work.
In addition, the vaccination rate of Vietnam’s textile and garment industry is still very low, particularly in key production areas in the south western and south eastern provinces, he adds. The total export turnover of these provinces in the central region accounted for 62 percent of the total export turnover of the industry. The export value of the textile and garment industry reached $18.7 billion in the first six months of the year, while the target for the whole year is $39 billion. The textile and garment enterprises in the country are under huge pressure due to the as they failed to ensure the production situation as planned. They are also worried about the worker exodus in Ho Chi Minh City. Their failure to return could cause a serious labour shortage in Vietnam in future, adds Duc Giang.
The Spot Rate remained unchanged at Rs 13,400 per maund. The Polyester Fiber was available at Rs 222 per Kg.
Copyright Business Recorder, 2021