LAHORE: Punjab Agriculture Department has asked farmers to grow cotton on maximum area as its demand is set to increase in 2018-19 due to various factors.
According to a spokesman for Agriculture Department, due to climatic condition and flood cotton crop effected worldwide last year. India, USA, and China are searching out cotton market to import cotton. Moreover, Uzbekistan has set up ginning factories for cotton instead of exporting raw fiber. Prior to it, Uzbekistan was regarded one of the largest cotton raw exporter in the world.
China has cotton reserves but due to population growth, it is also looking for global cotton exporter. India has some issues with Monsanto Company regarding seed technology etc and also due to climatic change, its cotton reserves are not satisfactory for itself during this year. So, India will also look for exporter of cotton. Turkey is considering stopping imports of US cotton and explores new markets for its cotton requirements including from India, Pakistan, Uzbekistan and Egypt, he observed. Turkey is considering stopping imports of cotton products from United States as its export of angular iron rods to the United States may be in trouble due to high tariff announced recently by US President Trump. Turkey imports cotton products amounting to $519 million per year from US while its export of angular iron rods to the United States is around $525 million.
All these measures are supporting cotton exports from Pakistan as have much bright chances to find a global market of cotton. The spokesman said cotton bumper crop during this financial year is top priority of Punjab government because whole economy depends on its high production.
He disclosed that Punjab government is also devising “2025 Cotton Mission” plan. For immediate relief of cotton growers, the government is providing approved varieties of cotton seed up to 50% subsidised rate and also providing subsidy voucher at Rs 700 per cotton bag to core area of cotton growers. More than Rs 14 million is being spent for provision of Agricultural Machinery to cotton growers.
Source: CNBC Africa, U.S.A Wednesday, 16 May 2018