Cotton prices surge after heavy rains damage crops

LAHORE: A bullish trend again gripped the cotton market as prices of white lint surged to a new high of Rs20,000 per maund in Punjab, ARY News reported on Wednesday.

According to details, cotton has reached a level of Rs20,000 per maund in Punjab after an Rs2,000 increase, while in Sindh, the prices of white lint reached Rs18,000 per maund.

Pakistan Cotton Ginners Forum (PCGF) Chairman Ihsan ul Haq said the main reason behind the hike in local white lint rate is reports that cotton production in the United States has declined.

Meanwhile, PCGF Chairman noted that heavy torrential rains have damaged majority of cotton zones across the country. He added that textile mill owners may ask to import 5 million bales of cotton amid shortage.

It is pertinent to mention here that wheat and flour crises also hit Punjab province after flash floods triggered by heavy downpours damaged the crops in the country.

According to sources, flash floods have damaged 0.3 million tonnes of wheat in Rajanpur and Fazilpur districts of Punjab province.

Sources told ARY News that the Punjab food department has requested the federal government to allow import of one million tonnes of wheat as the province was witnessing a wheat shortage.