Weekly Cotton Review: Poor quality keeps prices under pressure
KARACHI: Cotton prices in the local market stayed under downward pressure on account of poor-quality cotton, even as trading activity improved. New York cotton futures showed a mixed trend, while textile exports posted a rise.
Dr Muhammad Javed Hassan, cotton adviser to the All Pakistan Textile Mills Association (APTMA), raised concerns over the performance of bodies responsible for cotton production, research and policy planning. He said the Cotton Crop Assessment Committee had not met in five years, and that the Cotton Board, set up on October 22, 2025, has yet to show clear results.
He also said the Pakistan Central Cotton Committee (PCCC) spends just 5 per cent of its resources on research and has shown no significant achievements over the past decade. He called for stronger research and better institutional performance to support the sector.
Separately, Sajid Mahmood said Pakistan’s cotton crisis needs to be correctly diagnosed, arguing that its root causes must be identified accurately before effective measures can be taken to help cotton growers and the textile industry.
Electricity consumers face an increase of Rs2.56 per unit under the Fuel Price Adjustment (FPA), while distribution companies (DISCOs) are seeking a 54 per cent tariff hike. The proposal comes as high energy costs continue to hurt the industrial sector, particularly textiles, by raising production costs and eroding competitiveness.
Stakeholders in the cotton and textile sectors say government policies are not giving cotton, often called “white gold”, its due importance. Critics accuse the government of undermining cotton while promoting Chinese products, which they described as “poison”. They argue that protecting the national economy, agriculture and the textile industry requires a stronger focus on cotton and its allied industries.
The international textile fair Heimtextil will take place in Frankfurt, Germany, from January 12 to 15, 2027, with around 2,900 exhibitors expected from across the world. A record number of Pakistani textile and carpet manufacturers are expected to attend.
The event is seen as a key opportunity for Pakistani manufacturers to showcase products, build business contacts, explore commercial opportunities and expand exports.
With challenges mounting in cotton production, research, energy costs and industrial policy, stakeholders say coordinated and effective measures are needed to strengthen the sector, increase research funding and improve the competitiveness of Pakistan’s textile industry.
In the local cotton market, prices fell overall over the past week. Cotton quality is deteriorating day by day, and textile mills are buying cautiously, which is pushing prices down.
Over the past two weeks, several cotton-related institutions held World Cotton Day events, where many proposals were made to revive the crop. Almost all of them expressed deep regret that the country’s cotton production keeps declining. The main reason is that sugar mills are being set up in cotton-growing areas, which is increasing sugarcane production while cotton output falls. Cotton is likened to gold, whereas sugar is regarded as poison. Cotton is used in textiles and oil production, while sugar is not even good for health. Because of low cotton production, we spend valuable foreign exchange importing large quantities of cotton from abroad. Meanwhile, we produce sugar in abundance every year and export it at low prices, which causes us losses.
At the recent World Cotton Day events, several experts offered very positive proposals. They pointed out that cotton is sown on more than double the acreage in Punjab compared with Sindh, yet Punjab’s production is lower than Sindh’s.
Another complaint is that no meeting of the Cotton Crop Assessment Committee, which used to estimate cotton production and related figures, has been convened in the past five years.
A Cotton Board was formed on October 22, 2025, but even if it holds meetings, no report on its performance has emerged.
The Pakistan Central Cotton Committee (PCCC) spends only five percent of its budget on research, and no performance from it has come to light in the past ten years.
It was also forecast at World Cotton Day that by 2030, the country’s cotton production would be raised to between 13 million and 15 million bales, and that ginning factories, which have been operating since 1960, would be upgraded. Many encouraging proposals were presented at World Cotton Day, but no roadmap has been explained for when and how they will be implemented.
Cotton prices stayed within a narrow band across the country’s main growing provinces, while the Karachi Cotton Association’s Spot Rate Committee cut the spot rate by Rs100 per maund and closed it at Rs18,300 per maund.
In Sindh, cotton traded between Rs17,600 and Rs18,600 per maund, depending on quality, while seed cotton sold for Rs7,500 to Rs8,800 per 40 kilograms.
In Punjab, cotton was quoted at Rs17,800 to Rs18,600 per maund, while seed cotton ranged from Rs7,500 to Rs9,00 per 40 kg.
In Balochistan, cotton traded between Rs18,000 and Rs18,200 per maund, while seed cotton fetched Rs7,800 to Rs9,200 per 40 kg.
Karachi Cotton Brokers Forum Chairman Naseem Usman said the international cotton market showed a mixed trend. New York cotton futures traded between 80 and 88 US cents per pound.
According to the weekly export sales report of the US Department of Agriculture, 146,900 bales were sold for the 2026-27 marketing year. Costa Rica led the buyers with 74,300 bales, followed by India with 21,300 bales and Pakistan with 19,800 bales. For the 2027-28 marketing year, 7,200 bales were sold, all of them bought by Costa Rica and Pakistan.
Exports for the week totalled 140,600 bales. Vietnam was the top destination, importing 40,800 bales, followed by India with 20,100 bales and Bangladesh with 12,400 bales.
Separately, the Power Division claimed that targeted load management and other measures helped limit the Fuel Price Adjustment (FPA) for September 2026 to Rs2.56 per unit. It said the adjustment would otherwise have been an estimated Rs5 to Rs6 per unit, sparing electricity consumers an additional burden of up to Rs3.44 per unit.
In a statement issued on Thursday, the Power Division said the measures were intended to reduce the impact of costly alternative fuels on power generation and to prevent a sharp rise in the monthly fuel price adjustment.
Pakistan’s textile and clothing exports rose 5.26 per cent to USD5.026 billion in the first quarter of 2026-27 from USD4.775bn in the same period last year.
The marginal rise in export proceeds was attributed to elevated input costs, which eroded exporters’ competitiveness, and external shocks that disrupted shipments, according to data from the Pakistan Bureau of Statistics released on Thursday.
Textile exporters have already warned the government that exports could slow further in the second quarter if no corrective measures are taken.
Cotton expert Sajid Mahmood, speaking to renowned cotton analyst Naseem Usman, said that Pakistan’s cotton crisis is not merely a production problem. At its core, it is a crisis of farm profitability, production costs and price uncertainty.
He said that discussions on new varieties, improved seed and higher per-acre yields continue at various forums as part of efforts to revive cotton. However, the fundamental reality that farmers choose crops based on expected profitability, production costs and price risks is being overlooked. When cotton becomes less profitable than competing crops, farmers reduce its cultivated area and shift to alternatives, resulting in lower domestic production and greater dependence on imported cotton.
According to Sajid Mahmood, new policies, committees and production targets cannot deliver effective results unless cotton cultivation becomes economically attractive for farmers. Issues such as high production costs, uncertain returns, price fluctuations, climate stress and inadequate crop management must be addressed. Without resolving these constraints, improved seed alone cannot revive Pakistan’s cotton sector.
He said that sustainable cotton revival requires an integrated strategy encompassing quality seed, timely sowing, optimum plant population, balanced fertiliser application, efficient irrigation, scientific pest management and reliable market access. The success of agricultural research should be measured not only by increases in per-acre yield but also by improvements in fibre quality and farmers’ net income.
He further stated that declining domestic cotton production increases the textile industry’s dependence on imports and exposes it to global price volatility and exchange rate fluctuations. Therefore, cotton revival must be viewed as a shared priority for strengthening both the agricultural and industrial economies.
Sajid Mahmood said that the fundamental principle of cotton revival is clear: good seed must lead to a good production system, which must ultimately deliver a profitable cotton ecosystem. Research creates production potential, while effective agronomic practices translate that potential into actual output. However, farm profitability ultimately determines whether farmers continue cultivating cotton or switch to alternative crops.
Heimtextil 2027, the four-day international trade fair for home and contract textiles, will be held in Frankfurt, Germany, from January 12 to 15, 2027, with around 2,900 exhibitors expected from across the world.
A record number of Pakistani textile and carpet manufacturers and exporters are also expected to participate.
The exhibition will showcase the latest innovations in textiles, carpets, decorative fabrics, bedding, interior design and sustainable materials, providing international buyers with opportunities to explore new products, establish business partnerships and connect with global sourcing networks.
Olaf Schmidt, Vice President Textiles and Textile Technologies at Messe Frankfurt, said quality, reliability and strong business relationships were increasingly important in an unpredictable global market.
Heimtextil enables buyers to assess products firsthand, meet manufacturers directly and identify reliable production partners capable of fulfilling their requirements.
Heimtextil Trends 27/28 will highlight emerging textile and interior design concepts under the theme “Home-Maxxing – The Performance of Everyday Living.”
The trends focus on functional design, material quality, durability and tactile experiences. Renowned architect and designer Patricia Urquiola will also contribute her work to the trend presentation, curated in collaboration with Milan-based design platform Alcova.
The exhibition will feature dedicated sections for carpets and rugs, bed and bath textiles, smart bedding, decorative and furniture fabrics, and textile design. A new premium segment, Carpets and Rugs Excellence, will showcase selected manufacturers recognised for product quality, craftsmanship and production expertise.
Other highlights include the comfort and connect area, functional futures lab and global home segment, offering innovative materials, interior solutions and sourcing opportunities for orders of varying volumes.
Heimtextil 2027 is expected to provide a major international platform for textile manufacturers, exporters, designers and buyers to develop business connections, explore market opportunities and strengthen their presence in global markets.
Cotton Pakistan Foundation celebrated World Cotton Day at NIGAB/NARC, Islamabad, bringing together government representatives, industry leaders, researchers and progressive growers under the theme “Cotton for Good From Cotton Revival to Cotton Leadership.” The event highlighted timely approval of improved cotton varieties, digital monitoring of seed trials and stronger cooperation across the value chain as priorities for restoring Pakistan’s cotton productivity and competitiveness.
Organised in collaboration with the All Pakistan Textile Mills Association (APTMA), the National Agricultural Research Centre (NARC), the International Cotton Advisory Committee (ICAC) and Four Brothers Group, the celebration connected policy discussions with industry perspectives, farmers’ experiences and a field visit demonstrating promising cotton varieties.
Chief Guest Mr. Ahmed Umair, Prime Minister’s Coordinator on Agriculture and Food Security, congratulated Cotton Pakistan Foundation and its partners on organising a meaningful gathering focused on cotton’s future. He identified limited access to advanced technology as a major constraint on production and urged policymakers to ensure timely approval of improved cotton seed varieties.
Umair called for digital monitoring of trial data and an online system covering every stage of seed registration, drawing on digitisation efforts in other government departments. He expressed confidence that more efficient procedures and better access to innovation could help Pakistan make substantial progress towards cotton revival.
In a detailed presentation on seed innovation, Engr Jawed Salim Qureshi, Chairman of Four Brothers Group, outlined the Group’s approach to addressing production challenges through improved seed technology, covering solutions from 3G cotton technology to more advanced genetic material. His presentation focused on the contribution that seed innovation can make to the country’s cotton revival effort.
Engr. Qureshi endorsed Umair’s call for fast-track variety approvals, emphasising the importance of enabling promising genetic material to reach farmers through timely, evidence-based evaluation and
regulatory decisions. The discussion linked research progress with the practical need to accelerate farmers’ access to improved varieties, supported by reliable trial data and transparent digital processes.
Presenting the industry perspective, Kamran Arshad, former Chairman of APTMA, emphasised that cotton connects farmers’ livelihoods with Pakistan’s textile industry, employment and exports, making its revival a shared national priority.
He outlined APTMA’s work through its Cotton Foundation, including the Grow More Cotton campaign, farmer advisory support, advocacy for better seed and improved germplasm, and partnerships with Better Cotton and CottonConnect to advance sustainable production, farmer training and traceability. He also highlighted the Cotton Sales and Purchase Contract launched with the Pakistan Cotton Ginners Association (PCGA) to strengthen quality standards and trading practices.
Arshad described approval for establishing the Pakistan Cotton Board as an important milestone and stressed the need to translate institutional progress into effective implementation. APTMA’s revival roadmap, he explained, brings together farmers, PCGA, the Green Pakistan Initiative, the Federation of Pakistan Chambers of Commerce and Industry, seed companies, researchers and government around a common agenda.
“Cotton must be profitable for the farmer and dependable for industry,” he stated. He identified reliable seed, research that delivers results in farmers’ fields, stronger extension services, modern ginning and
closer links between growers and mills as essential priorities.
Dr. Muhammad Javed Hassan, Cotton Advisor to APTMA, delivered a detailed presentation on developments concerning the Pakistan Cotton Board and APTMA’s collaboration with stakeholders to revive domestic cotton production. He informed participants that the decision to establish the Board had been taken on 22 October 2025 by a high-level committee led by the Deputy Prime Minister, while its formal notification remained awaited. His presentation highlighted the need to advance the Board initiative and strengthen coordination between research, seed development, farmer support and industry requirements as part of a coherent national revival effort.
Sharing her experience as a progressive grower, Senator Sehar Kamran, Tamgha-e-Imtiaz, congratulated the organisers, Cotton Pakistan Foundation and the APTMA team. She described the strong harvest achieved on her farm in Sindh through advanced varieties and improved production practices.
She acknowledged the support provided by APTMA’s Cotton Advisor, Dr. Muhammad Javed Hassan, from seed selection and cotton production guidance to satellite-based crop updates. Her experience illustrated the practical value of combining improved planting material with timely technical advice and digital crop information.
The programme also included a welcome address by Kaiwan Anwar, President of Cotton Pakistan Foundation, an ICAC video message marking World Cotton Day, and a World Cotton Day message from Dr. S. Murtaza Hassan Andrabi, Chairman of the Pakistan Agricultural Research Council (PARC).
Sustainability, traceability and global market expectations formed the focus of the programme session for Rubab Zahra, Country Manager–Pakistan, Organic Cotton Accelerator (OCA), connecting the cotton revival agenda with the evolving requirements of international markets. Dr. Muhammad Mansoor, Director General of NARC, was also among the distinguished invitees named in the event materials.
Offering an energetic message of appreciation and optimism, Maj-Gen Tahir Masood Bhutta (retd), Hilal-e-Imtiaz (Military), commended the organisers and participating institutions for bringing the cotton sector onto a common platform. He expressed strong confidence in Pakistan’s capacity to revive cotton production if the cooperation demonstrated at the celebration continued through sustained action.
His message emphasised that shared commitment among farmers, researchers, industry and policymakers could translate the ambition of cotton revival into lasting progress.
The event concluded with a visit to the cotton fields at NARC, facilitated by the Four Brothers Group research team. Participants observed the excellent field performance of the cotton varieties on display and received a briefing from Engr. Jawed Salim Qureshi on the demonstrated material and its potential contribution to cotton revival.
Copyright Business Recorder, 2026