Textile Industry News & Updates | Latest Market Trends | 27 Sept 2024

Textile Sphere News Roundup - 27th Sept 2024

1. Textile Exports Hit 26-Month High

Mark 13% increase at $1.64 billion as global buyers shift from Bangladesh and China

KARACHI: Pakistani textile firms have reported a surge in export orders, resulting in the industry's exports reaching a 26-month high of $1.64 billion in August 2024, a 13% increase compared to the same month last year. This boost is attributed to rising costs and political instability in Bangladesh, coupled with international restrictions on China.

According to JS Global Research Analyst Shagufta Irshad, this shift has led importers to seek alternative markets like Pakistan, India, and Vietnam. The export of ready-made garments from Pakistan saw a 28% year-on-year rise, with knitwear and bedwear exports increasing by 15%. This trend enabled Pakistani exporters to command higher prices, with knitwear prices rising by 14% and ready-made garment prices by an impressive 58% in August 2024.

2. Textile Mills Urge Cotton Corporation of India to Open Warehouses in Tamil Nadu

The South India Spinners Association (SISPA) has urged the Cotton Corporation of India (CCI) to establish cotton warehouses in Tamil Nadu, as textile mills in the state consume 45% of the country's cotton production. This request, made during SISPA's annual meeting on September 25, 2024, in Coimbatore, aims to ensure easier access to cotton for local mills.

SISPA has suggested that mills lifting cotton after the free period be charged a 6.5% interest rate instead of the current 15%. Additionally, they called for the central government to directly transfer the Minimum Support Price (MSP) to cotton farmers and to monitor cotton purchases by mills to prevent hoarding.

3. Pakistan to Spend $2 Billion on Cotton Imports Amid Low Production

ISLAMABAD: Pakistan is set to spend over $2 billion on cotton imports this fiscal year due to an anticipated shortfall of around four million bales in domestic production. This shortfall is attributed to a 63% reduction in cotton bale arrivals caused by a heatwave and excessive rainfall.

According to Zakirullah Khalidi, General Secretary of the Pakistan Cotton Ginners' Association, the country’s cotton production will likely reach only seven million bales this year, well below the target of eleven million bales. Pakistan primarily imports cotton from the United States, Afghanistan, and Uzbekistan to meet its domestic and export needs. Erratic weather and pest infestations have contributed to this year’s decline in cotton yield, forcing farmers to switch to other cash crops like sesame, sugarcane, and paddy.

4. US Upland Cotton Sales Down 18%, Pima Eases 23% This Week: USDA

According to the USDA’s export sales report for the week ending September 19, 2024, the net sales of Upland cotton in the United States for the 2024-25 season totaled 87,800 running bales (RB), down 18% from the previous week. The major buyers included Turkiye, Pakistan, and Vietnam.

Pima cotton sales for 2024-25 totaled 10,800 RB, representing a 23% decrease from the previous week. The main buyers included India, China, and Pakistan. Despite an increase in exports by 58% from the previous week, overall export levels remain 3% lower than the previous 4-week average.

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As always, Textile Sphere brings you news from reliable sources to keep you well-informed about the latest developments in the textile industry.

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