According to Pakistan’s “Observer” report on June 9: China’s textile market has recently shown a good recovery, which is a good sign for Pakistan’s cotton exports. China is one of Pakistan’s main cotton export destinations, but since April this year, affected by the pandemic, Pakistan’s cotton exports have continued to slump. Various economic indicators of the Chinese textile market rebounded in May. The apparel industry actively adjusted its strategies to achieve a gradual recovery of the market. Due to the damage of early-seeded cotton seedlings by locusts, Pakistan’s cotton production will be lower than the previous 8 million bales expected. Pakistan’s domestic cotton demand is expected to resume in June after Eid al-Fitr, as the government gradually lifts the blockade.
Compared with the Chinese market, the Western market’s demand for cotton is expected to continue to be sluggish. The cotton imports of the U.S., EU and China are expected to be 2,000 bales, 133,000 bales and 2.068 million bales. Cotton consumption in the U.S., EU and China is expected to be 631,000 bales, 144,000 bales, and 8.274 million bales. Exporters said that Pakistan exports a large number of textiles to the United States, Britain, Italy, Spain, Germany and other Western countries every year. Affected by the pandemic, Pakistan has lost a lot of export orders, and the situation is very grim. Textile exports are very important for Pakistan to maintain foreign exchange balance. If this situation continues for several months, the Pakistani textile industry may face a huge crisis.