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USDA GAIN: Oilseeds, Cotton, Sugar, Grain and Feed

09 September 2014

USDA GAIN: Pakistan Cotton and Products Update August 2014USDA GAIN: Pakistan Cotton and Products Update August 2014

Pakistan’s 2014/15 cotton production is forecast 500,000 480 lb bales higher at 10.0 million bales. Despite below average monsoon rains during July and August, water for irrigation has been adequate. 2014/15 imports are forecast 400,000 480 lb bales lower at 1.8 million bales given higher production.
USDA GAIN Report - Oilseeds, Cotton, Sugar, Grain and Feed



Author Defined:

Conditions Ripe for a Good Cotton Harvest

Pakistan is expected to produce 10.0 million 480 lb bales of cotton, up 500,000 bales from the previous USDA estimate. Planted area is estimated slightly higher at 3.1 million hectares. While monsoon rains during July and August were significantly below average, Pakistan’s cotton crop is largely dependent on irrigation, and water supplies have reportedly been adequate. The cotton harvest has begun and weather conditions during September could still affect yields if current late-season rains persist, resulting in dropped bolls and reduced crop quality. Alternatively, good September weather could push the crop higher.

Import Figures Revised, Consumption Unchanged

2014/15 imports are forecast lower at 1.8 million 480 lb bales given the expected larger supply of domestic cotton. 2013/14 trade estimates have been revised to reflect official import and export data.

Several factors point to strong consumption including a weaker rupee and the 2013 decision by the European Union to grant Generalized System of Preferences Plus status to Pakistan. The European Union accounts for about a third of Pakistan’s textile exports. The textile sector will likely continue to face challenges resulting from inconsistent energy supplies. The estimate of 2014/15 cotton consumption remains unchanged.

September 2014

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