ISLAMABAD: The government has approved cotton intervention price at Rs5,000 per 40 kg in order to revive output of cotton crop which was on a declining path for the last several years, said Minister for National Food Security and Research Syed Fakhar Imam.
The fixation of intervention price of cotton crop also aimed at encouraging local farming community by ensuring profitability, protecting them from exploitation and bring maximum land under crop cultivation which would help in the development of local agriculture sector as well as economic uplift of the country.
Addressing a press conference, the food minister said that the federal cabinet in its last meeting accorded approval of cotton intervention price and fixed seed cotton price at Rs5,000 per 40 kg.
In this regard, the Cotton Price Review Committee has also been formed and tasked with monitoring local prices. He added that the intervention price would be applicable if the local price fall below Rs5,000 per 40 kg and the procurement price will be set as 90 percent of import parity.
Under the intervention regime, he said that the Cotton Price Review Committee will direct the Trading Corporation of Pakistan to start procurement if price falls below Rs5,000 per 40 kg, adding that TCP will initially procure 200,000 bales of cotton and ensure that farmers are directly benefiting from the procurement campaign.
Fakhar said that fixation of cotton intervention price also aimed at bringing stability in local cotton sector, besides ensuring fair prices of the products in line with international prices to supply quality input, particularly seed and cotton pesticides.
He said that the revival plan was part of paving the path to introduce new seed technologies, use of insect sterile technology and integrated pest management for insects like whitefly and pink bollworm management.
Imam said that the cotton sector revival plan of the current government was also envisaged to grading and standardization of local cotton for promoting local spinning and ginning and harmonizing them with the international market for enhancing local exports of garments.
Replying to a question, Imam said that up-gradation of curriculum, research and development was a prerequisite for agriculture development, adding that the government has initiated collaboration with China and Korea for technology transfer and research development in the seed sector.
