Presentation contains the basic review of the common commodity i.e, Cotton. best for the students learning Microeconomics.

3. 
M. Ammar Siddique
Presentation By

6. 
 Cotton, belonging to a family that includes hibiscus
and okra, produces a natural vegetable fiber used in
the manufacture of cloth. Cotton produces a sweet
nectar that attracts a variety of destructive insect
pests, including the boll weevil, bollworm,
armyworm, and the red spider. In addition to insect
pests, there is also a very destructive fungus, called
the wilt, that attacks the root system of the cotton
plant.
Intoduction..

7. 
 It is almost impossible to determine the original
habitats of the various species of cotton. Scientists
have determined fiber and boll fragments from the
Tehuacán Valley of Mexico to be about 7000 years
old. The plant has certainly been grown and used in
India for at least 5000 years and probably for much
longer. Cotton was used also by the ancient Chinese,
Egyptians, and North and South Americans. It was
one of the earliest crops grown by European settlers,
having been planted at the Jamestown colony in
1607.
History..

8. 
Cotton in Pakistan
Pakistan is the most important area for
the production of cotton
According to the estimate, Sindh produce
15% of the Pakistan's cotton and Punjab is
richer as 85% of the cotton is produced in
Punjab

9. 
 The agriculture sector in the country registered 1.2 percent growth
during the financial year 2010-11 as against the growth target of 3.8
percent and previous year’s performance of 0.6 percent. According to
the Economic Survey 2010-11 launched here Thursday agri-sector has
lost significant growth momentum as its growth slowed down to 2.7
percent in the decade of 2000s as against 4.4 percent in 1990s and 5.4
percent in the 1980s. Major crops remained the victim of natural
calamities during the last few years and three out of last four years
witnessed negative growth in the major crop sector.
 The unprecedented floods in July 2010 destroyed two major crops
including rice and cotton. As reported by SUPARCO an area of 2.364
million hectares under Kharif Crops 2010 was damaged. Major crops
accounting for 31.1 per cent of agriculture value added, registered a
negative growth of 4.0 per cent for second year in a row mainly because
of decrease in production of rice and cotton 99.9 and 11.3 percent
respectively.
Economic survey 2010-2011

10. Minor crops accounting for 10.9 percent of
overall agriculture value addition grew by 4.8
percent as against the negative growth of last
two years.
The livestock sector recorded growth of 3.7
percent as against 4.3 percent growth of last
year. Fishery sector grew by 1.9 percent as
against last year’s growth of 1.4 percent.
Forestry has experienced negative growth of
0.4 percent as against last year’s positive
growth of 2.2 percent.

11. Stats and graph of last ten years..

12. 
 A declining trend of cotton's share in textiles fibers
since the 1970s compare to the chemical textiles
(branched off oil) was stated- in 1960 the part of
cotton was of 68.3% against 21,8% for chemical
textiles and at the opposite the percentages were
respectively of 39,7% and 57,7% in 2002. Cotton
remains nevertheless by far the most important
natural fiber of the 20th century (see "uses"). In a
development context, cotton is crucially important
for income and employment provided in its
production and processing
An overview..

13. 
Cotton production in world

14. 
 cotton being a non‐food cash crop contributes significantly i
n foreign exchange earning.
 Cotton accounts for 8.6 percent of the value added in agriculture
and about 1.8 percent to GDP.
 The crop was sown on the area of 3106 thousand hectares, 1
0.1 percent more than last year (2820 thousand hectares).
 The production is estimated at 12.7 million bales for 2009‐10, hig
her by 7.4 percent over the last year’s production of 11.8 million
bales. However, the cotton production was 5.0 percent less than
the target of 13.36 million bales mainly due to the shortage of irr
igation water, high temperatures in the month of August result
ing in excessive fruit shedding, flare up of sucking pest co
mplexes and wide spread of Cotton Leaf Curl Virus (CLCV).
Cotton in Pakistan

15. 
QUALITIES OF COTTON IN
PAKISTAN
 1) Sindh Provinces:-
 Sirmast
 Qalindri
 k-68/69
 Desi qualities
 2)Punjab Province:-
 Delta Pine M.S.39*40 – B -57
 149.F Ac – 134
 Nayab 86
 M.H.H.93
 desi qualities
 Nayab 78
 Bt- cotton

16. 
Last 10 years production in Pakistan

17. 
Area, production and yield of cotton

19. Pakistan are forecast to produce
27.0 million bales and 10.3 million
bales in 2011/12, up 10 percent and
17 percent, respectively, from the
preceding year. Harvested area in
Pakistan is forecast to increase 8
percent and 14 percent in 2011/12,
to 12.0 million hectares and 3.3
million hectares, from a year
earlier.

20. 
Major cotton importers

22. The price of Wheat is
determined by Government of
Pakistan i.e.
Agriculture Minister
Forces in market

23. 
KCA official prices for cotton in
Pakistan

24. Sales tax

25. 
The imposition of 17 percent sales tax on
agricultural inputs will add to the troubles of
the government as the overall contribution of
agriculture sector in GDP growth may decline
by 2-3 percent.

26. According to agricultural experts the tax
would affect the overall agricultural
productivity of Pakistan. The 17 percent
sales tax on agricultural inputs including
fertiliser, pesticides, tractors and other
inputs would cost the poor growers
heavily, analysts maintain.

27. the contribution of the agriculture sector to
GDP growth is 24 percent that may decline
to 19-20 percent after this tax is imposed”.
Mughal said that with this additional
burden of Rs 70-80 billion on the
agriculture sector, the total number of
people living below the poverty line
would increase from 80 million to 110
million.

29. 
 The cotton plant has great economic importance because
cotton fiber is obtained from its fruits.
 Additionally than cotton fiber for textiles, other
commercial products are also obtained from the cotton
plant: such as raw materials for soap manufacturing,
cellulose that is used in some cosmetics and in paper
making, cooking oil, and animal feedstock, among others.
 Even in international bank notes cotton has a prime
importance, the Euro currency bill paper is completely
made from cotton. Also the dollar bill, in it's more
modern versions is also manufactured with this fiber
Importance

31. Pcga.org
Ucat.com
Fiber2fashion.com
Fbr.com
Finance.gov.pk
E-to-china.com
Agricorner.com