Exports to EU to get a boost: fiscal year 2014 revised cotton target almost achieved

Pakistan has almost achieved the revised estimated cotton production target of 12.33 million bales set for the current season 2013-14, which would positively affect the country's exports, especially to EU countries under the GSP Plus, official sources told Business Recorder.

The Cotton Crop Assessment Committee (CCAC) initially projected cotton production estimates at 13.22 million bales and later twice revised them downward to 11.95 million bales. However, in the last meeting cotton production was estimated at 12.33 million bales according to which Punjab was expected to produce 8.7 million bales of cotton against the initial projection of 9.6 million bales, Sindh 3.15 million bales against 3.5 million bales, Balochistan 0.108 against 0.18 million bales and Khyber Pakhtunkhwa 0.00043 million bales.

According to officials during 2013-14, cotton was planted on an area of 5.40 million acres against the target of 6 million acres, showing 9 percent decrease from the set target and 5.2 percent decrease from the last year's area sown in Punjab where rain and floods damaged about 120,000 acres of land. The officials attributed the decline in sowing to the lower prices of cotton seed during last two-three years and farmers' preference towards maize, sugarcane and rice crops due to monetary advantages over cotton. Further, rains delayed harvesting of potato crop in upper Punjab, which also resulted in late/less sowing of cotton crop in those areas.

The officials maintained that about 1.41 million acres of land was sown in Sindh province against 1.60 million acres of land during last year, depicting 13 percent decrease in sowing. Early sown cotton crop in lower Sindh was attacked by pink bollworm and mealy bug while 5-10 percent of kacha area was damaged due to floods in upper Sindh as well.

According to the Pakistan Cotton Ginners Association (PCGA) fortnightly report around 13.32 million cotton bales were sourced to the country's ginners by March 1, depicting an increase of 4.43 percent against last year figure at 12.76 million bales during the same period. About 11.96 million cotton bales were sold to the textile units and exporters bought 0.36 million bales. Thus, overall 12.32 million bales were traded so far. Officials maintained that CCAC cotton crop assessment is based on an average weight of 170-kg per bale whereas the PCGA places their estimates at an average weight of 155-kg per bale.

The government has fixed cotton production target for the next season (2014-15) at 15.10 million bales from an area of 3.128 million hectare according to which Punjab will produce 10.5 million cotton bales from 2.428 million hectare, Sindh will covered 0.650 million hectare land and would produce 4.200 million cotton bales, Balochistan will grow cotton on 0.050 million hectare and will produce 0.400 million cotton bales, KP will cover 0.00035 million hectare land and would produce 0.0015 million cotton bales.