No concrete policy to enhance cotton production as rate touches 11-year high: PHMA

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LAHORE, FEB 26 (Online): Pakistan Hosiery Manufacturers and Exporters Association (PHMA) has said that it is very unfortunate that no concrete policy to enhance production of cotton has been announced by the government yet, as the rate of cotton has touched the record 11-year high of Rs12,000 per maund.
PHMA zonal chairman Faisal Mehboob Sheikh and chief coordinator Adil Butt observed that the country is expected to produce 5,600,000 bales this year, which is lowest in last 30 years while the demand of local textile industry is almost 18,000,000 bales. So, keeping in view of the demand of local textile industry more than 8,000,000 bales of worth 4 billion dollars will have to be imported.
Faisal Mehboob Sheikh said that reason behind unprecedented increase in the cotton prices is alarming decline in the cotton production and bullish trend in the international cotton market, appealing to the Prime Minister Imran Khan to immediately formulate a strategy to overcome this cotton yarn crisis so that thousands of workers could continue their employment in the largest export industry of Pakistan.
He also suggested the government to remove custom duty on yarn import, as its shortage has increased seriously despite removal of 5% regulatory duty. “We appeal the government to withdraw 5% Customs duty on yarn import following the abolishment of Regulatory duty in view of controlling shortage of apparel industry’s raw material.