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Uncertainty appears in Indian cotton import
Mar '08
It is astonishing that Indian cotton exporters are now reluctant to fulfill their commitment with Pakistani buyers, because of increasing trend in international cotton market.

After a long debate and efforts FPCCI and APTMA were succeeded to get permission from the government of Pakistan to import cotton from Wagha boarder.

Almost half of the 2.4 million bales of cotton imported by Pakistan to overcome a domestic shortage was procured from India.

According to the provisional data from the Federal Bureau of Statistics for the period from August last year to January, this was highest ever import of cotton in any year.

The total value of imports from the US, India and Central Asia was Rs 30 billion. It is notable that about 1.1 million bales worth Rs 15 billion were imported from India and the import of another 0.5 million bales is currently in the pipeline.

However, after sudden and unpredictable increase in the international markets, now the Indian exporters are reluctant to fulfill the confirmed orders by Pakistani importers.

Mr. Tanvir A. Sheikh, President Federation of Pakistan Chambers of Commerce and Industry (FPCCI) shows it serious concern over this blockage, He mentioned that such tactics will not only damage the creditability of Indian businessmen, it will also create obstacles in the politico-economic relations of the neighboring countries.

President-FPCCI stated that both the neighboring SARRC countries gone through an agreement related to cotton bales. Pakistan produced nearly 11 million bales this crop season and many local traders see the next crop to be less than 12 million bales this year.

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