Weekly Cotton Review: Production rises 27pc to 1.7m bales YoY

Pakistan's cotton arrivals reached 1,696,451 bales as of August 31, up about 27 percent from 1,335,632 bales a year earlier, according to the Pakistan Cotton Ginners Association. Business Recorder reported that local rates fell by Rs500 to Rs700 per maund, settling between Rs18,600 and Rs18,800, as New York futures dropped sharply. Trading volume stayed subdued because arrivals of seed cotton, or phutti, remained limited.

Hundreds of containers carrying imported cotton are held at the country's ports, adding to demurrage costs, and the All Pakistan Textile Mills Association wants the issue resolved urgently. Faisalabad's loom sector is under heavy strain from higher energy costs and unlawful shipments of yarn and cloth. Mills are shifting more of their demand toward imported cotton as New York futures fall.

In a separate matter, the court ordered the Evacuee Trust Property Board to unseal the Karachi Cotton Exchange building, accusing it of defying an earlier order. Representatives of the affected parties accuse the Federal Investigation Agency of unlawfully taking possession of the premises, and the building has not yet been vacated. The bench adjourned the hearing till Sept 9, directing the alleged contemnors to de-seal the property and submit a compliance report before that date.