August 17, 2006	Thursday	Rajab 21, 1427

ISLAMABAD, Aug 16: Prime Minister Shaukat Aziz has approved the “clean cotton programme 2006-07”, envisaging the procurement of 100,000 bales of cotton at a premium of Rs84 million to encourage the production of clean cotton.

Of the total procurement, 70,000 bales will be procured from 14 ginning factories in Punjab and 30,000 bales from six ginning factories in Sindh.

An announcement by the textile ministry issued on Wednesday said the prime minister had also approved the continuation of clean cotton programme up to 2008-09. The procurement quantity of cotton bales will be enhanced to 300,000 in 2007-08 and to 600,000 bales in 2008-09.

For producing 100,000 bales of cotton, an amount of Rs70 million will be required to be paid as premium. It has been decided that 50 per cent of this amount (Rs35 million) will be paid by the federal government and the rest by the provincial governments -- Rs24.5 million by Punjab and Rs10.5 million by Sindh. However, an amount of Rs14 million will be provided by the members of All Pakistan Textile Mills Association (Aptma) at the ginning stage.

According to the approved procedures, the growers would bring clean cotton to the selected ginning factories, where after an examination by a joint team headed by a PCSI classer they will be paid Rs50 per maund by the Trading Corporation of Pakistan (TCP) through crossed cheques.

The Aptma members will buy `clean cotton’ from ginners at the prevailing market rates and pay a premium of Rs30 per maund over and above the prevailing market rates.

According to the specification for clean cotton, every bale should be of minimum grade-II having micronaire of 3.8 to 4.9 NCL, with staple length of 1-1/16", maximum moisture 8.5 per cent, trash of 5.6 per cent and non-lint contamination not more than 2.5 gram per bale.

In case clean cotton bales are not purchased by spinners and traders in the open market, the TCP will buy them according to its laid down procedures at Rs2,520 per maund for grade-II and Rs2,591 per maund for grade-I cotton, including ginning premium at the rate of Rs30 per maund and grade premium of Rs90 per maund and Rs161 per maund for grade-II and grade-I, respectively.

The programme will be implemented in districts of Multan, Vehari, Khanewal, Muzaffargarh, DG Khan, Bahawalpur, Rajanpur in Punjab, and Khairpur, Nausheroferoze and Mirpurkhas in Sindh.