KARACHI: Domestic markets have witnessed an overall trend of stability in cotton prices while the business environment has remained favourable. Internationally, cotton prices displayed a mixed trend which also impacted local markets. The encouraging news is that an increase in textile exports has been recorded, which is a positive indicator for the national economy.
The Government of Pakistan is engaged in continuous efforts to restore cotton production, and in this regard, the National Cotton Plan 2025 has entered its final phase. This project has been designed to increase cotton production and improve the agricultural sector.
The Pakistan Textile Council has urged the government to immediately address the key challenges facing the textile sector to ensure the development of this vital industry.
A detailed report on cotton production figures in the country up to October 31, issued by the Pakistan Cotton Ginners Association (PCGA), will be released on November 3. This report will provide clear information regarding cotton arrivals and total production during this period, through which it will be possible to estimate the total production in the current season. These statistics will be important for agricultural policymakers and business circles.
The local cotton market experienced overall stability during the past week, with business volumes showing improvement. Textile mills are continuing cautious purchasing practices while ginners are also showing interest in cotton sales. However, a day-by-day reduction in cotton supply is being observed, and the quality of cotton is becoming lighter in several regions.
The cotton crop has been affected by sporadic rainfall in recent times, which has impacted the quality of cotton. Consequently, there are concerns that the quantity of cotton arriving in the coming period may be relatively lower. The production estimates that were initially projected for the cotton crop are now becoming uncertain. Due to these factors, several experts believe that cotton production is likely to be lower than previously expected. Nevertheless, a clearer picture will emerge from the production reports due on October 31 and November 15.
It is being said that upcoming cotton production reports will show significantly lower figures than earlier reports, which makes it premature to make definitive statements about cotton production at present. Some observers are suggesting that production could be around 55 lac bales, similar to last year’s output, while others are estimating approximately 60 lac bales.
Most ginners are awaiting the PCGA cotton arrival report expected on November 3, after which the next market trend is anticipated to be determined.
There are indications of further increases in gas prices, which will have a negative impact on business operations.
Cotton prices across Pakistan’s provinces remained steady with quality-based variations, while international cotton markets showed relative stability despite disruptions caused by a U.S. government shutdown.
In Sindh province, the rate of cotton is in between Rs 14,800 to Rs 15,200 per maund depending on quality, while the rate of Phutti is in between Rs 6,800 and Rs 8,000 per 40 kilograms.
Punjab province saw cotton prices between Rs. 14,800 and Rs. 15,400 per maund. The rate of Phutti is in between Rs. 6,700 to Rs. 8,200 per 40 kilogrammes.
In Balochistan province, the rate of cotton is in between Rs. 15,300 to Rs. 16,000 per maund, while the rate of Phutti is in between Rs. 7,000 and Rs. 8,500 per 40 kilograms.
Balochi cotton was traded at Rs. 15,700 to Rs. 16,000 per maund, while prime mark cotton fetched prices between Rs. 16,900 and Rs. 17,000 per maund.
Prices for cottonseed, oil cake, and oil remained stable throughout the period.
The Spot Rate Committee of the Karachi Cotton Association maintained the spot rate at Rs. 15,000 per maund.
Naseem Usman, Chairman of the Karachi Cotton Brokers Forum, reported relative stability in international cotton prices. New York cotton futures prices ranged between 65.00 and 69.00 US cents per pound.
The US Department of Agriculture (USDA) operations have been suspended due to a government shutdown, resulting in the non-release of the October World Agricultural Supply and Demand Estimates (WASDE) report, unavailability of weekly export figures, absence of weekly crop progress and condition reports, and non-availability of weekly AWP and LDP/MLG data. Fortunately, the Farm Service Agency (FSA) has recently resumed some activities.
Prices for December futures, which had fallen to approximately 63 cents, have shown some improvement over the past few weeks and are currently trading near 66 cents. This recovery is likely attributed to buyer interest at the lower 63-cent price level. The market has also been encouraged by potential progress in trade negotiations between the United States and China. Additionally, the market appears poised to react to delayed information once new reports become available.
The Ministry of National Food Security and Research is all set to finalize the National Cotton Plan 2025 to enhance crop yield, improve quality, and reduce the cost of production.
According to documents available with Wealth Pakistan, the National Cotton Plan 2025 aims to boost cotton production and promote import substitution through initiatives such as adopting the latest seed varieties and good agricultural practices.
The National Assembly’s Standing Committee on Commerce has already endorsed a set of recommendations in this regard, which are aligned with the Ministry of Commerce’s core objectives of driving export-led growth, bolstering competitiveness, and integrating Pakistan more effectively into global value chains.
The document reveals that in the Fiscal Year 2025, value-added finished textile products, including apparel and home textiles, generated $14.29 billion, accounting for 80 percent of textile exports, while raw materials and intermediates contributed $3.65 billion, or 20 percent.
To consolidate these gains, the Ministry of Commerce is preparing a new Textiles and Apparel Policy (2025-30). The policy seeks to maximize the use of locally produced raw materials, expand exports of value-added textile products, and diversify into new markets.
It identifies priority sub-sectors and potential destinations while proposing actionable steps to achieve $30 billion in textile exports by 2030, as approved by the National Export Development Board, the document said.
One of the challenges highlighted in the draft policy is the limited scale of Pakistan’s downstream industries compared to regional competitors, which has restricted growth in the global market share.
The new framework focuses on attracting fresh investment to scale up production capacities and diversify into high-value product lines.
Despite increasing exports of value-added goods, Pakistan’s textile and apparel exports remain heavily reliant on cotton, even as the global fiber mix has shifted toward man-made fibers (MMF).
Globally, MMF now represents 74 percent of total fiber use, including 57 percent polyester, 6.7 percent polyamide, 6.1 percent other synthetics, and 6.3 percent viscose, the document stated.
Under the recently approved National Tariff Policy 2025, the Tariff Policy Board has been tasked with rationalizing customs duties on non-cotton yarns and fabrics to enable Pakistan’s transition toward MMF-based apparel, women’s and children’s wear, sportswear, and other high-value finished products.
The government also aims to attract both foreign and domestic investment for the production of synthetic and artificial materials, such as polyamide, polyolefin, polyethylene, and polyurethane.
Driven by innovations in advanced and functional materials, the global technical textile market is expanding rapidly and is projected to surpass $300 billion by 2030. To capture a share of this emerging market, the Ministry of Commerce has established a National Technical Textile Council to develop a roadmap for shifting Pakistan’s textile and apparel industry from conventional products to high-value technical textiles used across diverse sectors, including protection, agriculture, construction, sports, medical, packaging, and automotive industries.
Additionally, the establishment of Sectoral Councils has strengthened public-private dialogue, ensuring policy alignment with industry needs and guiding implementation.
These councils serve as consultative platforms to address trade barriers, refine strategies, and support Pakistan’s long-term shift from raw material dependence to value-added, globally competitive textile exports, the document concluded.
The Pakistan Textile Council (PTC) has urged the government to address key challenges facing the textile sector, warning that continued inaction could further weaken Pakistan’s export performance.
In a letter sent to various government departments, PTC Chairman Fawad Anwar shared the Council’s export data analysis report for Q1 FY2025–26 (July–September 2025).
The PTC claims to present an evidence-based overview of Pakistan’s export performance and identified critical trends requiring urgent policy intervention.
The findings, it noted, are both “alarming and instructive.” The textile sector—accounting for nearly 63 percent of Pakistan’s total exports—continues to show signs of distress, with exports declining 2 percent year-on-year to USD1.58 billion in September 2025. This downward trend is mirrored in the country’s current account, which posted a USD594 million deficit during Q1 FY26.
The deficit, driven by rising imports outpacing exports and remittances, underscores the need for immediate corrective measures.
Copyright Business Recorder, 2025
