Textile mills importing about 3.5 million bales despite local cotton availability

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LAHORE: Despite an estimated 600,000 bales of cotton lying unsold across the country, textile mills are rapidly turning to foreign markets, signing import deals for 3 to 3.5 million bales over the past seven months, with more agreements reportedly in the pipeline.

According to Cotton Ginners Forum Chairman Ihsanul Haq, the surge in imports is being driven by limited availability of high-quality cotton domestically and an unexpected spike in temperatures that has accelerated demand for summer garments nearly a month ahead of schedule. He said textile mills were importing premium cotton – primarily from the United States and Brazil – to produce fine-count yarn required for summer apparel manufacturing.

Citing the latest US export report, Mr Haq revealed that Pakistan signed contracts for 50,000 bales of American cotton last week alone, with expectations of further aggressive buying in the coming weeks.

Global cotton markets have also firmed up after the Supreme Court of the United States reportedly struck down tariffs imposed by President Donald Trump, coupled with record weekly US export sales of 466,000 bales, the highest during the current cotton year.

Quality of cotton, early summer cited as reasons behind imports surge

As a result, market analysts expect cotton prices in Pakistan, currently stable at around Rs16,500 per maund, to trend upward in the new trading week. Adding to the bullish sentiment, China has announced a reduction in export rebates on cotton yarn, leading to a noticeable decline in yarn shipments to Pakistan and further tightening the domestic cotton market.

Meanwhile, early cotton sowing has begun in several Sindh districts, including Sanghar, Mirpurkhas, Hyderabad and Umerkot, following an unusual early rise in temperatures. If weather conditions remain favourable, cotton cultivation this year may surpass last year’s levels.

However, Mr Haq warned that Pakistan’s cotton industry continued to struggle under the highest regional costs of electricity, gas, financing mark-up rates and taxation. He also expressed concern over pressure from the Federal Board of Revenue to install a costly new online tracking system for the spinning sector.

With nearly 150 textile mills already shut down amid, what industry leaders describe as, the worst economic crisis in history, stakeholders fear further disruption could deepen the decline in Pakistan’s already weakening exports.

Published in Dawn, February 23rd, 2026

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