Market Observation: Pakistan Textile Industry (PCGA) Report Expects To Import 5 Billion Dollars Of Cotton

According to the report of Pakistan Cotton Ginning Association (PCGA), the cotton arrival of Sindh Ginning Plant dropped by 62.63%, while that of Punjab Province dropped sharply 65.13%。 The flow of seed cotton at the ginning stage has been reduced to nearly one-third of the total last year.

In the first half of this month, the total arrival of cotton has dropped to 1.434 million bales, compared with 3.933 million bales in the same period last year, a drop of up to 64%。 Six districts in Punjab Province reported zero cotton arrivals, an unprecedented decline in production. According to the report of PCGA, there is no increase in cotton arrivals in any region.

The 64% drop in cotton arrival at the ginning stage shocked the export-oriented textile industry, which is currently facing an import value of 50% in the 2025 fiscal year US $100 million of cotton and yarn to maintain the current export level prospects.

Due to the shortage of domestic cotton and the high cost of electricity, textile exports are unlikely to exceed US $16.65 billion in fiscal year 2024. The textile industry accounts for 54.29% of the country's total exports, which will be US $30.676 billion.