Pakistan 2016-17 Cotton Production Likey Sharply Up - Attache

MUMBAI (Commoditiescontrol) – Pakistan’s cotton production during 2016-17 cotton season that begins from August 2016 is forecast at 9.0 million bales (480lb) or 11.5 million bales (170kg) or 1.96 million metric tons (MMT).

Cotton consumption in 2016-17 is projected to increase marginally to 10.1 million lb bales (480lb) or 12.9 million bales (170kg) or 2.2 MMT. Industry sources are hopeful that recent energy deals will improve the supply of power, reduce power interruptions, and lower the cost of production. The textile sector continues to benefit from the European Union’s (EU) late 2013 decision to grant Generalized System of Preferences “Plus” status to Pakistan effective till 2017. The status provides tariff and quota-free access to Pakistani products entering the EU.

Pakistan is a net importer of cotton, primarily because of strong demand for better grades of cotton for blending and for producing export-oriented quality textile products. Typical imports include upland and long staple cotton, as well as medium staple cotton, to augment domestic supplies for processing and re-export

Compared to current year’s imports, Pakistan’s imports during 2016-17 are likely to fall sharply as domestic production recovers. Imports are projected at 1.5 million 480 lb bales. Despite sizeable imports, Pakistan continues to export cotton and 2016-17 exports are forecast at 400,000 bales (480lb). 2015-16 exports are estimated at 300,000 bales (480lb).



(By Commoditiescontrol Bureau; +91-22-40015533)