KARACHI: The cotton prices have gone past the historic mark and have reached Rs15,000 per maund on Friday which the ginners association attribute to hiked demand and falling production, ARY News reported.
According to the Chairman of Pakistan cotton ginners association said the price surge is due to the international trend and is amplified by the drop in the local production.
The increased price is due to little crop compared to the demands, association chairman Ihsan ul Haq said.
However, he added that the country is expected to produce 10 million bales of cotton in the next harvest which shall bring down the prices. He said the growth in production will contribute to gdp growth as well.
Pakistan registers increase in cotton prices
The global trends of price surge were instigated by the U.S. purchase of cotton in sizeable volumes and the decrease in the Indian crop this year.
Late last month, it was reported that the cotton prices increased by Rs700 per maund in Pakistan.
According to the Chairman Pakistan cotton ginners association, the prices of cotton are increasing in the international market. In the last two days, the cotton prices have increased by six cents per pound in the United States.
Earlier in the month of April, the federal cabinet had rejected an Economic Coordination Committee (ECC) proposal to allow the import of cotton and sugar from India.
