Weekly Cotton Review: Prices surge amid improved trading volumes
KARACHI: Last week, the cotton market witnessed a significant surge in prices alongside improved trading volumes, while cotton picking has also commenced in the lower Sindh regions.
According to Chairman Cotton Ginners Forum Ehsan ul Haq initial activity has been observed in the buying and selling of cotton advance deals, generating positive expectations among traders.
Internationally, a slight recovery in New York cotton market prices was recorded following a downturn, which proved encouraging for the local market. However, the government-level deadlock over the Export Finance Scheme (EFS) issue still persists, with indications that measures to resolve it will be announced in the upcoming budget.
The Federal Committee on Agriculture (FCA) has set a cotton production target of 10.18 million bales from 2.2 million hectares for 2025-26. Experts emphasise that the revival of the cotton industry depends on strengthening agricultural research institutions and the effective use of modern technology.
However, Head Transfer of Technology Central Cotton Research Institute Multan Sajid Mahmoud stressed the need to ensure farmers receive quality seeds and resources.
During the past week, the local cotton market experienced an overall upward trend in cotton prices. Needy mills were settled at prices ranging from 15,500 to 17,500 rupees per maund, depending on quality and payment conditions. The trading volume remained relatively better. New York cotton prices showed a mixed trend, though the upward factor remained dominant.
APTMA, PCGA, and FPCCI continued to protest against the EFS facility, appealing and pleading with the government to ensure a level playing field, but no attention is being given. Disappointed by the government's delaying tactics, PCGA Chairman Dr Jesumal Lemnani has sent a special letter to the Army Chief and the Chief Justice of the Supreme Court of Pakistan, urging their intervention.
Additionally, news is circulating about the upcoming 2025-26 cotton season. Reports suggest that cotton will be cultivated on 35 lac acres in Punjab province, while Sindh province is expected to see cultivation on 15 lac acres.
The target for cotton cultivation in Punjab province for the current season has been set at 35 lac acres. This was stated by Punjab Agriculture Secretary Iftikhar Ali Sahu while chairing a high-level review meeting on the status of cotton at the Agriculture House. He emphasised that all possible resources are being mobilized to achieve the cotton cultivation target. Field formations have been tasked with achieving 100% of the target by May 15, and through timely and specialized campaigns, 28% of the total target has already been met
He further mentioned that technical guidance for the care of early cotton cultivation is ongoing, and practical measures are being taken to ensure the availability of canal water in cotton-growing areas. He clarified that 50% of the total cotton cultivation target will be achieved from the Bahawalpur Division, adding that the current trends in cotton cultivation this year are highly encouraging.
In the provinces of Sindh and Punjab, the price of quality cotton, based on payment conditions, currently ranges between 15,500 to 17,500 rupees per maund. The Spot Rate Committee of the Karachi Cotton Association has maintained the spot rate stable at 16,700 rupees per maund.
Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, stated that international cotton prices have shown a mixed trend. After fluctuations in New York cotton futures, there was an upward trend, with prices ranging between 68.41 and 69.91 American cents per pound. According to the USDA's weekly export and sales report, 108,400 bales were sold for the year 2024-25. Malaysia remained the top buyer with 25,600 bales, followed by Bangladesh with 25,400 bales, and Vietnam in third place with 15,200 bales.
For the year 2025-26, a total of 32,900 bales were sold. Indonesia led with 15,800 bales, Pakistan secured the second position with 15,400 bales, and China ranked third with 900 bales.
The international cotton market showed improvement due to a decline in the dollar index, recovering from its lowest level in over two weeks.
The reason behind recovery is indications from China's Ministry of Commerce regarding progress in improving US-China trade relations
Meanwhile, in coastal cities of Sindh, the extremely limited-scale picking of the new cotton crop has begun, leading to the initiation of advance cotton contracts. For the first time in Pakistan's history, there is a possibility that the new cotton ginning season will commence in the first week of May.
Chairman Cotton Ginners Forum Ehsan ul Haq said that advance contracts for cotton from the new crop in Pakistan have commenced during the initial phase. Initially, two ginning factories in Punjab's cities of Burewala and Mandi Jahanian have finalized advance sales deals for 600 bales of cotton, priced between Rs17,000 to Rs17,300 per maund, based on delivery scheduled between May 10 and 15. Meanwhile, these factories procured cotton from coastal areas of Sindh at Rs8,300 to Rs8,500 per 40 kilograms. They stated that cotton picking has begun in very limited quantities in some coastal regions of Sindh, which is being purchased by cotton ginners from Punjab.
Sajid Mahmood, Head of the Technology Transfer Department at the Central Cotton Research Institute (CCRI) Multan in a telephonic conversation with this scribe, stated that credible reports indicate Pakistan is expected to import approximately $3 billion worth of cotton this year. This not only imposes a significant financial burden on the national economy but also underscores the deep-rooted challenges facing the domestic cotton sector. The scale of these imports reflects a critical gap in local production, which currently falls short of meeting national demand—an outcome shaped by a combination of administrative, technical, and research limitations.
He stressed that in such a scenario, the importance of research and development in cotton becomes even more vital. However, institutions like the Pakistan Central Cotton Committee (PCCC)—a key national body—are facing severe shortages in research funding, which hampers the pace and quality of scientific innovation. Mahmood also noted that pending cess payments from the textile industry remain unresolved, and their timely clearance could significantly support the strengthening of the research infrastructure.
Highlighting the constraints within the PCCC, he shared that only 28% of sanctioned positions are currently filled by agricultural scientists and technical staff. This shortage of skilled manpower severely restricts the continuity and expansion of research activities. Additionally, challenges such as the untimely availability of agricultural inputs for field trials and limited operational budgets are affecting the overall effectiveness and outcomes of research programs.
Sajid Mahmood emphasised that these challenges directly impact cotton growers, who urgently require improved seed varieties, climate-resilient technologies, and cost-reduction strategies. Declining per-acre yields and weakened market competitiveness are clear signs that more robust research, timely advisory services, and efficient technology transfer mechanisms are urgently needed.
He concluded by stating that saving foreign exchange, supporting farmers, and reviving the cotton sector will require a firm commitment to strengthening research institutions. This includes ensuring sustained resource allocation and making science-based decisions aimed at enhancing cotton productivity and sustainability in Pakistan.
Copyright Business Recorder, 2025
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The combination of high input costs and falling cotton prices has deeply disappointed growers, who were already facing hardship due to low wheat prices earlier in the year. Current government policies appear to favour imports, placing further strain on local farmers. Without a level playing field, the survival of growers, ginners, and even the textile industry is in serious jeopardy under the prevailing tax regime and the cotton demand is likely to drop about one million bales this year. Cotton sowing is already lagging significantly behind targets, and if the current tariff structure continues, farmers will be further discouraged from planting cotton. As a result, Pakistan's cotton production is expected to fall short of projections. In addition, rising temperatures and a growing whitefly infestation are likely to further damage the crop. Hardly 400 ginning factories are likely to be operational this season and the rest will take rest. We may have even lower production compared to last season. In its recent meeting, the Farmers Advisory Committee at the Central Cotton Research Institute (CCRI), Multan, issued detailed agronomic recommendations for cotton growers, effective through June 30. Cotton experts highlighted increasing pest pressures in cotton-growing regions, particularly from whitefly, jassid, thrips, and other insect pests. Growers were strongly advised to conduct regular pest scouting and apply pesticides only when pest populations reach economic threshold levels, and in consultation with cotton experts. Head Transfer of Technology CCRI Multan Sajid Mahmood said for jassid control, when the population reaches one nymph or adult per leaf, farmers should apply Dinotefuron at 100 grams or Flonicamid at 60 grams per 100 litres of water per acre. These insecticides are also effective against aphids. In the case of thrips, where 8–10 nymphs or adults per leaf are observed, Spinetoram at 60 ml or a mixture of Abamectin + Thiamethoxam at 500 ml per 100 litres of water per acre is recommended—particularly if mite infestation is also present. Experts recommended delaying the initial pesticide application as long as possible. For whitefly management, the use of at least 10 yellow sticky traps per acre is advised. If the population exceeds five nymphs or adults per leaf, chemical control using Flonicamid (80 grams), a mixture of Centrinili Prol + Dinotefuran (300 ml), or Pyriproxyfen (400–500 ml) per 100 litres of water per acre should be adopted. In fields where boll formation has commenced, pink bollworm infestation has been reported. Farmers should install one pheromone trap for monitoring and eight traps per acre for active management. For termite control, a combined application of Chlorpyrifos (1000 ml) and Fipronil (480 ml) through flood irrigation using a single nozzle is advised. For fields in the flowering or boll development stage, consistent and adequate irrigation is essential. Thinning should be completed within 25 days under moist soil conditions, and all weak or diseased plants should be removed. Effective weed management through timely irrigation and mechanical control—particularly in the first 60 days—is crucial, as unchecked weed growth can result in up to 40% yield loss. The use of high-tine cultivators (riggers) is recommended once the crop is six weeks old. Additionally, in glyphosate-tolerant varieties, glyphosate may be applied at 800–1000 ml per 100 litres of water per acre to manage weeds. For cotton sown in March–April for seed purposes, rouging—removal of unwanted, off-type, or diseased plants—should be completed before boll formation. In cases where fruit shedding symptoms are observed, a foliar spray of zinc sulphate (250 grams), borax (150 grams), and magnesium sulphate (300 grams) in 100 litres of water per acre is recommended. To enhance nutrient uptake, a separate solution of 2 kg of urea should be added to the spray mix, and the application repeated after 15 days. Furthermore, once the crop reaches 45 days of age, a post-irrigation application of one bag of urea along with 5–6 kg of zinc sulphate is recommended to support optimal growth and productivity. These guidelines have been developed by CCRI's cotton experts to help cotton growers safeguard crop health and maximize yields during the critical mid-season growth phase. Copyright Business Recorder, 2025
