Cotton Prices Reach New High in Pakistan

Cotton prices in Pakistan’s local market climbed to a new high of Rs. 20,000 per maund last week, marking the highest level of the 2025–26 cotton year, amid fresh rainfall, damage to the already sown crop, and the suspension of cotton imports due to the Gulf war.

The market participants say prices may continue to rise this week as supply concerns remain elevated. However, a possible reopening of imports from Afghanistan could ease pressure on prices.

Ehsan ul Haq, Chairman of the Cotton Ginners Forum, said that the market had earlier shown signs of easing in mid February when warmer temperatures accelerated cotton sowing in Sindh’s coastal belt and imports from the United States and Brazil increased. At that time, prices had fallen to around Rs. 16,500 per maund.

The trend reversed after rainfall affected sowing activity across major cotton zones, while the Gulf conflict disrupted overseas cotton imports, leading to an extraordinary increase in local prices.

He said the latest rise has pushed cotton prices to their highest level in nearly two years, with further gains still possible if supply constraints continue. At the same time, ongoing Pakistan-Afghanistan talks in China are being closely watched by the market. If successful, the reopening of the border could allow the resumption of cotton imports from Afghanistan, which may help cool prices.

Industry estimates suggest that 250,000 to 300,000 bales of cotton could arrive from Afghanistan, potentially shifting market dynamics and easing the current price rally.