KARACHI: Cotton prices remained stable during the previous week. There was an increase in spot rate by Rs 1,000 per maund. Deadly attack of Whitefly on cotton crop is termed alarming, as the crop is likely to be badly affected. Government officials and agricultural experts are actively working for coping with the attack of whitefly. Helicopters and drones are being used for spray.
There is a decline in textile sector’s exports while cotton production is expected to increase by 70%.
In the local cotton market last week there was a decrease in arrival of cotton. The arrival of cotton is also less because the farmers are demanding high prices of Phutti. Yet another major reason the alarming whitefly attack on the cotton crop and relatively reduced picking of Phutti due to high temperatures.
Due to these reasons, the price of cotton remained stable. Textile spinners are cautiously buying cotton because there are reports
of increase in petroleum and gas prices. On the
other hand the rate of cotton is also continuously decreasing.
According to the information received from the cotton producing areas, the cotton crop is heavily attacked by the whitefly. As a result of which according to experts cotton production will be less than the estimate.
It is being observed for many years that the month of September proves to be fateful for the cotton crop. This year also the month of September is showing its cruelty and affecting the crop badly.
Although rains are predicted for next week and if the weather condition improves, the effect of attack of white fly will be partially reduced.
To protect the cotton crop from whitefly, Punjab interim Chief Minister Mohsin Naqvi, interim provincial Minister SM Tanveer, APTMA and other agricultural experts are actively working.
The rate of cotton in Sindh is in between Rs 18,500 to Rs 19,000 per maund. The rate of Phutti is in between Rs 8,000 to Rs 9,000 per 40 kg. The rate of cotton in Punjab is in between Rs 19,000 to Rs 19,500 per maund while the rate of Phutti is in between Rs 8,500 to Rs 9,300 per 40 kg. The rate of cotton in Balochistan is in between Rs 18,500 to Rs 18,800 per maund and the rate of Phutti is in between Rs 8,500 to Rs 9,300 per 40 kg. A bearish trend prevails in the rate of Khal Banola and oil.
The Spot Rate Committee of the Karachi Cotton Association increased the spot rate by Rs 1,000 per maund and closed it at Rs 19,000 per maund.
Chairman Karachi Cotton Brokers Forum Naseem Usman has said that a mixed trend was witnessed in the rate of cotton in international cotton market. The rate of Future Trading of cotton was around 86.44 American cents per pound.
According to the USDA’s weekly export and sales report, sales for the year 2023-24 were 67,400 bales. Vietnam was at the top by buying 25,900 bales. Mexico was second with 25,200 bales. China bought 17,500 bales and came third.
As many as 25,200 bales were sold for the year 2024-25. Turkey was on the top by buying 19,800 bales. Pakistan bought 4,400 bales and came second. Mexico bought 1,100 bales and was on third place.
Textile and clothing exports have shrunk by 9.49 per cent in the first two months of the current fiscal year as compared to the previous year owing to rising cost of production and liquidity constraints, data released by the Pakistan Bureau of Statistics showed on Friday.
In absolute terms, the value of textile and clothing exports fell to $2.766 billion in July-August from $3.05bn in the corresponding months last year. The decline indicates no sign of revival in export proceeds in the first half of FY24.
In FY23, the exports of textile and clothing contracted by 14.63pc year-on-year to $16.50bn. Pakistan’s total merchandise exports went dipped by 12.71pc year-on-year to $27.54bn in FY23 from $31.78bn in the preceding fiscal year.
Separately, alarmed by reports of the major pest attack, caretaker Chief Minister Mohsin Naqvi has dispatched Agriculture Secretary Iftikhar Sahoo and other top officials to the affected region, while help of army’s helicopters and drones has also been sought to spray pesticides.
A press release issued by the CM’s office claims that the army’s high command has agreed to the request to allocate its helicopters and drones for spraying the pest-affected fields.
Cotton Ginners Forum Chairman Ihsanul Haq said the attack began a couple of weeks ago and it is affecting the growth of plants due to the blackening of the leaves. He feared that the attack will not only affect the overall domestic production of cotton, but the quality of the produce, as well, which may lead to
an increase in the import of cotton overburdening
the precious foreign exchange reserves.
Haq held the Meteorological Department responsible for weather-related damages the agriculture sector has been suffering from for the last many years, due to a lack of timely and accurate forecasts.
He says that owing to global warming, meteorological departments around the world have been upgraded a lot in the past few years so that timely and accurate weather forecasts of the rapidly changing climate can protect crops and the environment from maximum adverse effects. But in Pakistan, he laments, the department’s equipment was not upgraded and instead it was converted into the Ministry of Climate Change, which could not have any positive effects on Pakistan’s agriculture.
The federal and provincial governments had declared 2023-24 as the cotton year and due to their efforts a record production of 10 million bales of cotton was expected this year.
According to reports, the weather is becoming milder and rains are falling in many areas. It is expected to become beneficial for controlling the attack of whitefly.
Meanwhile, the cotton production figure till September 15 is expected to be around 3.8 million bales, about 1.6 million bales higher than the production of 2.2 million bales in the same period last year.
Copyright Business Recorder, 2023
Comments
Comments are closed.