Pakistan’s Cotton Production Declines to Lowest in Almost 40 Years

Pakistan’s cotton output for crop year 2022-23 decreased by 34 percent year-on-year (YoY) to lowest in almost forty years, according to the latest data released by the Pakistan Cotton Ginner’s Association (PCGA).

Total cotton arrivals in Pakistan slid to 4.912 million bales as of April 1, 2023, compared to 7.442 million bales in the corresponding period last year, recording a difference of 2.53 million bales and a drop of 34 percent.

The cotton arrival data shows a decline of 2,530K bales (-34% YoY) to 4,912K bales as of 01-Apr-2023

Pakistan: 4.9mn bales, -34% YoY
Punjab: 3.0mn bales, -23% YoY
Sindh: 1.9mn bales, -47% YoY@APTMAofficial @StateBank_Pak #Pakistan #Economy #AHL pic.twitter.com/MaMhRgzBJ4

— Arif Habib Limited (@ArifHabibLtd) April 6, 2023

As per the PCGA data, cotton arrivals reported a big decline in both cotton-producing provinces of Punjab and Sindh.

As of April 1, cotton arrivals in Punjab were 3.033 million bales compared to 3.929 million bales in the same period last year, a decrease of 0.89 million bales or 22.8 percent YoY. On a monthly basis, cotton arrivals recorded an increase of 1.2 percent as compared to 2.996 million on March 1.

Similarly, cotton arrivals in Sindh reached 1.879 million bales as of April 1 compared to 3.513 million bales reported in the same period last year, a massive decline of 1.63 million bales or 46.5 percent.

Overall, cotton production in Pakistan is expected to fall further. The massive drop in cotton arrivals is being blamed on floods and heavy rains during last year’s monsoon, which devastated large swaths of agricultural land across the country, particularly in Sindh and Balochistan provinces.