Sindh leads as cotton arrivals surge 25% to 1.114 million bales despite adverse weather, transport strike

Profit by Pakistan Today reported that cotton arrivals this season have climbed 25% to 1.114 million bales, per the Pakistan Cotton Ginners Association. The rise held up despite poor weather and a countrywide walkout by carriers of goods and fuel. Sindh drove most of the gain, with volumes up 42% to 734,000 bales, while Punjab edged up 3% to 379,000 bales.

Sanghar led with 551,000 bales, about 75% of Sindh's total. Rahim Yar Khan logged only 1,637 bales, a shift industry experts partly linked to expanding sugar mills and sugarcane incentives. Cotton Ginners Forum chairman Ihsanul Haq noted that Punjab's Crop Reporting Services estimated output at 585,000 bales as of August 13, about 35% above the PCGA's figure, partly due to an estimated 60,000 to 70,000 bales moved from Sindh to Punjab for better prices.

Heavy taxes are pushing part of the trade off the books, and nearly 100,000 bales have changed hands undocumented. Industry representatives warned such dealing could reach 1.5 million to 2 million bales unless tax rates change, potentially hurting government revenue. Textile mills have bought 951,000 bales so far and exporters 13,000, while the remaining 163,000 bales sit with 112 ginning units in Punjab, plus 156 in Sindh. Arrivals are set to rise from August 16 to 31, and stakeholders fear phutti and lint prices may face pressure and want measures to keep cotton land from switching to sugarcane.