Big increase in cotton and phuti prices in Karachi, fear of further inflation

Karachi is witnessing an unprecedented increase in cotton and cotton prices as import activities are affected due to the tense situation in the Gulf.

According to reports, the price of cotton per maund in local cotton markets has reached a new high of Rs 19,500 after increasing by Rs 1,500, while the price of cotton per 40 kg has also increased by Rs 1,000 to Rs 9,300. Experts say that there is a possibility of further increase in prices this week as well.

According to people associated with the cotton sector, cotton imports have been affected due to Gulf tensions, while prices are also increasing in the global market. Along with this, unexpected weather changes, drop in temperature and light rains in the country have also affected cotton cultivation, which has further reduced supply.

According to Ahsan ul Haq, chairman of the Cotton Ginners Forum, the price of cotton has increased by a total of Rs 3,000 in the last two weeks, while prices have also increased globally to about 69.46 cents per pound.

Experts say that due to increasing demand, cotton cultivation is expected to increase in the upcoming cotton season, which may reduce imports in the future and reduce pressure on foreign exchange reserves.

However, concerns have also been raised over the new policies related to seeds, as limiting the rights to sell certified seeds to specific companies may increase difficulties for farmers.