Cotton growers in Pakistan are still waiting for the government to decide on the cotton intervention price for the current season. The delay is having a negative impact on them. The National Assembly Standing Committee on Textile Industry and the Ministry for National Food Security and Research had fixed the intervention price of cotton at Rs 3,000 per 40 kg for the financial year 2015-16. The Trading Corporation of Pakistan (TCP), in the second week of November, intervened in the domestic market and started procurement the commodity to stabilise cotton prices. Less than 1,00,000 bales were procured. However, the late decision was not beneficial for farmers and objections were raised after which, cotton procurement was suspended. However, the TCP is likely to be made bound to procure at least two million cotton bales for this year.

It is possible that the government will procure seed cotton instead of lint cotton on an experimental basis, as per the Indian model of cotton procurement. The cotton price may be fixed in between the import and export parity prices. Lint cotton is exported as well as imported by Pakistan and during this course of business activity a lot of revenue is being spent, which may be avoided through the import of long staple cotton, which is required for fine quality cotton in certain textile sectors.