Pakistan’s cotton stockpiling sharply declined by 43% to 3.45 million bales in October, raising concerns that the country would have to spend $3 billion to import at least 7.0 million bales to fulfill domestic demand, The News quoted industry officials on Tuesday.
The last report by Pakistan Cotton Ginners Association (PCGA) said the country’s cotton stockpiling stood at 6.09 million bales last year in October as heavy monsoon along with sowing substandard seeds took a toll on total yields.
Punjab saw a decline of 45% in cotton production, bringing the stocks from 3.16 million bales in October last year to 1.7 million this year. The production decreased in Sindh by 41% – the stocks stand at 1.7 million bales compared to last year’s 2.92 million bales.
Karachi Cotton Brokers Association Chairman Naseem Usman said a decline of 2.6 million bales in cotton arrivals was a point of concern.
“Total expected cotton arrivals are around 5.5 million bales, and there would be need to import at least 7.0 million bales, as consumption demand of local mills was around 14 million bales.”