KARACHI, Feb 11: The government has asked the Trading Corporation of Pakistan (TCP) to immediately start procurement of one million bales of cotton to stabilize prices.

According to officials and ginning sources here on Monday, the Chief Executive Secretariat in its letter on Saturday, has asked Secretary Commerce to implement the decision of October 2001 to procure one million bales of cotton by the TCP.

Meanwhile, the corporation has asked its procurement and technical staff to remain in position at nine centres including one in upper Sindh (Sukkur) and eight in Punjab to start cotton procurement.

According to sources, the TCP is expected to start procurement in a day or two. “The decision has been taken in principle. The start might take a day or two”, sources said.

TCP’s Rahimyar Khan centre was already procuring contamination-free cotton while another centre in Dera Murad Jamali, Balochistan is busy to procure entire cotton from the area.

The Secretariat has directed the TCP to implement the decision in “letter and spirit” for immediately lifting one million bales of cotton from ginners to stabilize cotton market and report compliance by February 15.

It may be noted that President General Pervez Musharraf had directed the TCP in October 2001 to procure one million bales of cotton to ensure better prices to growers and stabilize market.

The TCP, which started procurement of grade III cotton soon after the decision has so far procured 120,700 bales including 4,600 bales of contamination-free cotton when the prices went beyond government’s announced prices.

Meanwhile, in a statement here chairman Pakistan Cotton Ginners Association (PCGA), Sheikh Muhammad Saeed, has welcomed the decision of Gen Pervez Musharraf and hoped TCP will immediately start cotton procurement.—APP