The textile industry representative body says a good minimum support price will help lure back farmers who have switched to other crops
By Staff Reporter
ISLAMABAD: The country’s textile sector has scaled back its demand for a cotton (Phutti) support price of Rs8,000/maund (40kg) by Rs1,000 for 2022-23 season to ease some pressure off the economically-challenged government, it said on Wednesday.
“Given the government’s point of view in current circumstances, we urge the authorities to announce a cotton support price of at least Rs7,000/maund for the forthcoming season,” said All Pakistan Textile Mills Association (APTMA) in a statement.
“It will not only enhance yields but also the acreage sown and expected to raise the cotton production by five million bales.”
A delay in the announcement of minimum support price (MSP) for next season will result in a significant loss in production and billions of dollars worth of cotton imports, the APTMA officials said.
“At present, wheat is being harvested in the country and the cotton sowing season is at its peak, but farmers are looking for MSP in order to plan their cotton crop acreage, as there are many other crops, having more profitability than cotton, which can be sown at the same time.”
Last year farmers received a very good price (Rs6,100/maund) on cotton from the textile sector.
“Farmers who have switched to other crops such as sugarcane, rice, and corn will see an increase in profits as well as their confidence as a response to a good minimum support price,” the APTMA statement said.
It said last year, the support price was announced near the end of the sowing season, which was too late and too little.
Sharing production data, APTMA statement said per acre cotton yield grew 33.5 percent from 433kg/hectare to 652kg/hectare during the 2021/22 planting season as farmers trod with caution, anticipating a higher price of cotton.
Pakistan is losing at least $ 5 billion directly on account of low production of cotton. Increase in cotton production would have a direct impact of $1 billion per 1 million bales and a seven times multiplier impact on the fiscal flows in the economy.
“Cotton cultivation provides livelihood and employment to millions of poor families, while a decrease in the area under the crop and productivity only adds to the rural poverty,” the textile mills representative body said urging the government to spin into action.
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