The FIA’s controversial takeover of the Cotton Exchange Building has halted the daily cotton spot rate, impacting the entire supply chain. This move took place in Pakistan on May 3, 2026, as the FIA aimed to establish its Karachi headquarters.
The daily cotton spot rate has been suspended since December 12, 2025. This suspension has caused significant disruptions in the cotton market. Cotton prices in Sindh and Punjab are currently trading between Rs 19,500 and Rs 21,000 per maund.
Key facts:
- The FIA Anti-Corruption Circle arrested 10 accused, including proclaimed offenders, in April 2026.
- International cotton markets show a strong bullish momentum, with New York Cotton Futures hitting 85 US cents.
- A total of 162,900 bales were sold for the 2025-26 season.
- Vietnam purchased 55,600 bales, while Pakistan bought 33,300 bales.
The textile sector in Pakistan faces challenges from rising energy costs and interest rates. The FIA’s actions have drawn criticism due to ongoing legal proceedings concerning its occupation of the Cotton Exchange building. Officials have not clarified how this will affect future operations within the textile industry.
The FIA’s crackdown on corruption continues to be a focal point. An official stated that “the arrests reflected FIA’s continued efforts to ensure accountability.” Meanwhile, events outside this controversy unfold as Nissan Formula E Team’s Oliver Rowland secured podium finishes in both rounds of a recent double-header.
Pakistan’s textile industry showcased its capabilities at the Techtextil and Texprocess exhibitions in Frankfurt, Germany. The fair was described as highly productive by Mohd Noman Qadir, who noted strong orders from European buyers.