According to the Pakistan Cotton Ginning Association (PCGA) report, cotton arrivals at ginning factories in Sindh have dropped by 62.63 percent, while in Punjab, cotton arrivals have plummeted by 65.13 percent. The flow of seed cotton at the ginning stage has shrunk to nearly one-third of last year’s volume. Total cotton arrivals have fallen to 1.434 million bales in the first half of this month, compared to 3.933 million bales during the same period last year — a staggering decline of 64 percent. Six districts in Punjab reported zero cotton arrivals, an unprecedented decline in production. Not a single district recorded an increase in cotton arrivals, as per the PCGA report.
The 64 percent drop in cotton arrivals at the ginning stage has alarmed the export-oriented textile industry, which now faces the prospect of importing cotton and yarn worth $5 billion in FY25 to maintain current export levels.
With the shortage of domestic cotton and high cost of electricity, textile exports are unlikely to surpass the $16.65 billion recorded in FY24. The textile sector accounted for 54.29 percent of the country’s total exports, which stood at $30.676 billion in FY24.