Home / Knowledge / News / Textiles / Increasing cotton prices: Trouble for local textile sector
Increasing cotton prices: Trouble for local textile sector
17
Nov '09
As a large number of international buyers rushed to Pakistan amid a fall in world cotton production, it has been predicted that the domestic cotton prices may see further hike, which have already increased by 21 percent since the beginning of ongoing year, and would influence the local textile sector.

Exporters complained that the export of raw cotton caused shortage for the power-looms, and continuance of the same would force the textile mills to close down their shutters in coming days.

Unbridled export of raw cotton and cotton yarn has become the major troublesome issues for the local value-added sector, even though the local cotton production is expected to increase during current season.

This fiscal year, the government has targeted to produce 12.5 million bales of cotton compared to 11.3 million bales produced last year. Improved consumption of new BT cotton-seeds resulted in high cotton production during the current fiscal.

According to the recent statistics revealed the by Pakistan Cotton and Ginner Association (PCGA), cotton arrivals have depicted a 40 percent Y-o-Y increase to 7.3 million bales. But, it has been believed that the cotton production would not meet the target set by the government.

The International Cotton Advisory Committee anticipated that the world cotton production would fall by 5 percent to 103 million bales, while China's cotton production would collapse by 16 percent Y-o-Y on account of lower acreage and unfavorable climate conditions.

Cotton prices are witnessing a surge since last few months and are at Rs. 4,000 per maund at present.

As the demand from international markets such as China and India is increasing, cotton prices are likely to hover in the range of Rs 4,000 to Rs 4,100 per maund despite an 11 percent production growth expected in fiscal year 2010.

All these issues made local cotton prices to soar up by 21 percent since the beginning of the current cotton season, whereas the demand made by the sector to impose ban on cotton and yarn exports, put pressure on rising cotton prices to some extent, said an expert.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 24th Jan 2017

Textile industry demands relaxation of laws from Budget

The upcoming Union Budget 2017-18 should focus on relaxing certain...

President Donald Trump; Courtesy: White House

Textiles | On 24th Jan 2017

US sets ball rolling for withdrawal from TPP

President Donald Trump has set the ball rolling for withdrawal of the ...

Textiles | On 24th Jan 2017

Indian cotton consumption estimated at 290 lakh bales: CAI

The domestic consumption of cotton during the crop season 2016-17...

Interviews View All

Neel Sawhney
One Friday

‘The share of kidswear segment in the online sector is still small in...

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Yash Maniyar
Rekha Maniyar

Indian fashion market is growing at a staggering rate

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
January 2017

January 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search