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Pakistan China EV Agreement to Boost Charging Infrastructure and Local Manufacturing
Pakistan

Pakistan China EV Agreement to Boost Charging Infrastructure and Local Manufacturing

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Pakistan and China have signed a new agreement aimed at accelerating the country’s electric vehicle (EV) industry by promoting local manufacturing, technology transfer, and the expansion of EV charging infrastructure. The initiative is expected to strengthen Pakistan’s transition toward clean transportation while supporting industrial growth and reducing reliance on imported fossil fuels. The Memorandum of Understanding (MoU) was signed between StarCharge, StarCharge Energy Pakistan, and Bahum Global Ltd. in the presence of Special Assistant to the Prime Minister (SAPM) on Industries and Production Haroon Akhtar Khan. Pakistan China MoU Supports EV Ecosystem The newly signed Pakistan China MoU is designed to promote collaboration in electric vehicle technologies, with a particular focus on developing local manufacturing capabilities and expanding charging infrastructure across Pakistan. The agreement complements the government’s upcoming Battery Energy Storage System (BESS) Policy, which aims to encourage investment in battery storage technologies, EV production, and related industries. Officials believe the policy will help attract foreign investment while supporting the growth of Pakistan’s clean energy and electric mobility sectors. EV Charging Infrastructure Expansion Planned A key objective of the agreement is the nationwide expansion of EV charging infrastructure, making electric vehicles more practical and accessible for consumers. The government has been working to facilitate the installation of charging stations across major cities and highways to support the expected increase in EV adoption. Improved charging facilities are expected to boost consumer confidence and accelerate the transition toward electric mobility in Pakistan. Local Manufacturing and Technology Transfer Speaking at the signing ceremony, Haroon Akhtar Khan said the partnership reflects the government’s commitment to developing Pakistan’s domestic EV industry. He noted that cooperation with Chinese companies would help promote local battery manufacturing, facilitate technology transfer, and strengthen Pakistan’s industrial capabilities in emerging green technologies. The collaboration is also expected to create employment opportunities for skilled workers and young professionals while encouraging innovation in the automotive sector. Reducing Dependence on Imported Fuel The government believes wider adoption of electric vehicles will significantly reduce Pakistan’s dependence on imported petroleum products. Lower fuel imports could help reduce the country’s import bill, strengthen energy security, and contribute to environmental sustainability by lowering carbon emissions. Officials view electric mobility as an important component of Pakistan’s long-term strategy for achieving cleaner transportation and sustainable economic growth. Pakistan-China Green Technology Cooperation Expands The latest agreement represents another milestone in growing Pakistan-China cooperation beyond traditional infrastructure projects. Both countries are increasingly focusing on green technologies, advanced manufacturing, renewable energy, and industrial localisation under their broader economic partnership. The MoU is expected to support Pakistan’s efforts to build a competitive EV ecosystem while encouraging investment, innovation, and sustainable industrial development.

Mobile Data Packages Price Increase in Pakistan: PTA Approves Tariff Hike of Up to 33%
Pakistan

Mobile Data Packages Price Increase in Pakistan: PTA Approves Tariff Hike of Up to 33%

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Pakistan’s mobile users are set to face higher communication costs after the Mobile Data Packages Price Increase in Pakistan came into effect following the Pakistan Telecommunication Authority’s (PTA) approval of revised tariffs. The updated pricing structure raises the cost of several hybrid and data-only packages by as much as 33 percent, increasing the financial burden on millions of subscribers who rely on mobile internet for work, education, business, and everyday communication. The revised tariffs apply to multiple prepaid packages, including monthly, fortnightly, weekly, three-day, two-day, and daily bundles offered by telecom operators across the country. Mobile Data Packages Price Increase in Pakistan Affects Multiple Plans According to the latest tariff update issued by the PTA, 15 hybrid and data-only mobile packages have undergone price revisions. The largest increases have been observed in monthly internet and call bundles, with some plans becoming up to Rs500 more expensive. Fortnightly hybrid packages have seen hikes of up to Rs300, while weekly bundles now cost as much as Rs130 more than before. Short-duration packages have also become costlier. Three-day offers have increased by up to Rs21, two-day bundles by Rs20, and one-day hybrid packages by around Rs5. These changes are expected to have a noticeable impact on users who regularly purchase short-term internet packages throughout the month. PTA Publishes Revised Tariffs for Greater Transparency The Pakistan Telecommunication Authority stated that the updated tariff schedule has been released to improve transparency in the telecommunications sector. Along with the revised prices, the regulator has published detailed information on package validity periods, included services, and quarterly tariffs. The move is intended to help consumers compare available plans across different telecom operators and make informed decisions based on their communication needs and budgets. PTA said enhancing consumer awareness and maintaining transparency remain key objectives of the updated tariff publication process. Higher Connectivity Costs May Impact Consumers The Mobile Data Packages Price Increase in Pakistan comes at a time when mobile internet has become an essential utility for millions of Pakistanis. Students attend online classes, freelancers work with international clients, businesses conduct digital operations, and consumers increasingly depend on mobile banking, e-commerce, and social media. As package prices rise, many users may be forced to reduce data usage, shift to lower-cost bundles, or compare competing offers more carefully before subscribing. For freelancers, small businesses, and digital entrepreneurs, higher internet costs could also contribute to increased operating expenses. Telecom Sector Continues to Expand Despite the tariff increases, Pakistan’s telecommunications industry continues to invest in network expansion and improved digital infrastructure to meet growing demand for high-speed connectivity. Industry observers believe operators are balancing rising operational costs with ongoing investments in network quality and service improvements. However, consumers are expected to remain increasingly price-sensitive as mobile connectivity becomes an even more essential part of daily life. What Subscribers Should Know With the revised tariffs now in effect, mobile users are advised to review the latest package details before renewing their subscriptions. Comparing data allowances, call minutes, SMS quotas, validity periods, and prices across different operators can help identify the most cost-effective option. The latest Mobile Data Packages Price Increase in Pakistan reflects another significant change in the country’s telecom landscape. While the PTA says the publication of updated tariffs promotes transparency and informed consumer choice, the higher prices are likely to increase monthly communication expenses for millions of users across Pakistan.

FPCCI Officials Allegedly Involved In Visa Selling And Human Trafficking, Apex Body Denies
Pakistan

FPCCI Officials Allegedly Involved In Visa Selling And Human Trafficking, Apex Body Denies

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FPCCI Rejects Allegations As Baseless Karachi: The Secretary General of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has categorically and unequivocally rejected and strongly rebutted a recent news report published in Urdu Daily Jang on July 21, 2026, alleging the involvement of FPCCI officials in visa selling and human trafficking under the guise of a women’s trade delegation by a women’s chamber. The apex trade body termed the allegations fabricated, malicious, and a deliberate attempt to tarnish the reputation of the institution. It also strongly condemned the publication of what it described as an unfounded news report. The Secretary General stated that the report is completely false, unfactual, and entirely baseless, adding that the Federation of Pakistan Chambers of Commerce and Industry operates with the highest level of integrity, transparency, and strict adherence to the law. FPCCI further stated that it has absolutely nothing to do with the alleged visa scandal, human trafficking, or any such illicit activities, while condemning what it described as a malicious smear campaign against Pakistan’s premier trade body. FPCCI Says Strict Verification Process Is Followed The Secretary General stressed that FPCCI maintains rigorous, merit-based protocols for processing, vetting, and verifying all outgoing international trade delegations. He urged the media to verify facts before publishing defamatory content and stated that FPCCI reserves the right to take legal action under the Prevention of Electronic Crimes Act (PECA) against the dissemination of what it described as false and defamatory news aimed at damaging the institution’s credibility. FPCCI Clarifies Visa Recommendation Policy The Secretary General clarified that FPCCI neither requested visas for the alleged women’s delegation nor were any visas issued at the request of the organization. He explained that, as a matter of policy, all visa recommendation letters are issued exclusively from the FPCCI Head Office in Karachi and carry an embossed seal and QR code, a verification process that has been in place since 2023 for all embassies and consulate generals operating in Pakistan. According to FPCCI, since no such recommendation was issued in the alleged case, claims regarding the issuance of approximately two dozen visas to a friendly country in exchange for large sums of money, followed by visa rejections and an inquiry, are entirely baseless. FPCCI Distances Itself From Affiliate Trade Organizations The Secretary General further clarified that there are more than 300 trade organizations across Pakistan, including 31 Women’s Chambers of Commerce, all licensed by the Directorate General of Trade Organizations as independent entities. He emphasized that these trade organizations operate autonomously and that FPCCI is not responsible for the actions of its affiliate trade organizations. The Secretary General also stated that FPCCI has not received any communication from any level of the government regarding an inquiry into the alleged matter. He further denied reports claiming that FPCCI had assured the government of conducting an internal investigation. Additionally, he said that the correspondent of the newspaper had never contacted any FPCCI official to seek clarification before publishing the report. FPCCI Demands Correction And Reserves Legal Rights The Secretary General demanded an immediate and unconditional correction of what FPCCI described as a mala fide news report and called for the publication of the organization’s official rebuttal with due prominence. He reiterated that FPCCI completely dissociates itself from the allegations and maintains that it has no connection whatsoever with the reported visa-selling and human trafficking claims.

Pakistan Foreign Exchange Reserves Rise Despite Sharp Drop In Gold Reserves
Pakistan

Pakistan Foreign Exchange Reserves Rise Despite Sharp Drop In Gold Reserves

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Pakistan Foreign Exchange Reserves Continue Upward Momentum Pakistan Foreign Exchange Reserves posted another strong monthly increase in June 2026, signaling improving external financial stability even as the country’s gold reserves recorded a significant decline. The latest figures released by the State Bank of Pakistan (SBP) highlight a mixed picture, where stronger foreign currency holdings have helped offset losses in gold valuation, providing investors and businesses with encouraging signs about Pakistan’s external sector. While falling gold reserves may initially appear alarming, a closer examination of the central bank’s reserve composition suggests that Pakistan’s liquidity position continues to strengthen, reflecting improved reserve management and growing confidence in the country’s foreign exchange outlook. Pakistan’s total liquid foreign exchange reserves reached $23.23 billion at the end of June 2026, compared with $22.11 billion a month earlier. This represents a monthly increase of $1.12 billion, or 5.1 percent, while reserves have expanded by more than 20 percent compared to June 2025. The improvement was largely driven by stronger holdings at the State Bank of Pakistan, reinforcing the country’s ability to manage external payment obligations, stabilize the currency market, and support imports during periods of global uncertainty. The latest reserve growth also reflects continued improvement in Pakistan’s external account following a challenging period marked by foreign exchange shortages and economic instability. Gold Reserves Fall But Remain Higher Than Last Year One of the most notable developments in the latest SBP report was the decline in Pakistan’s gold reserves. Gold holdings, including gold deposits and swapped gold, stood at $8.39 billion in June 2026, down from $9.47 billion in May. The decline of 11.4 percent is substantial on a monthly basis and is largely linked to fluctuations in international gold prices and valuation changes. However, despite the monthly drop, Pakistan’s gold reserves remain 22.6 percent higher than the $6.84 billion recorded during the same month last year, indicating that the country’s overall gold asset position has strengthened considerably over the past twelve months. Pakistan Foreign Exchange Reserves Benefit From Strong SBP Holdings The State Bank’s own reserve position continued to improve across several major components. Total SBP reserves, including the impact of forward and swap obligations, increased to $18.5 billion, representing a monthly gain of 7.1 percent and an annual increase exceeding 26 percent. Net reserves, which exclude forward and swap commitments, also climbed to $18.38 billion, highlighting stronger underlying reserve quality. The largest contributor remained the SBP’s nostro balances, which increased to $18.08 billion, reflecting healthy growth over both monthly and annual periods. Special Drawing Rights (SDR) holdings experienced only a slight monthly decline but remained dramatically higher than a year earlier, suggesting continued support from international reserve assets. Meanwhile, Pakistan’s reserve position with the International Monetary Fund remained broadly unchanged. Banking Sector Reserves Present A Mixed Picture Commercial banks reported a modest decline in their net reserves during June, slipping to $4.86 billion. Total banking reserves fell more noticeably to $2.5 billion, reflecting changing liquidity conditions within the banking system. Trade finance balances improved during the month, indicating steady financing activity for international trade. However, trade nostro balances moved into negative territory, highlighting ongoing pressures within trade-related foreign currency settlements. Although these developments deserve close monitoring, they did not materially weaken Pakistan’s overall foreign exchange position because of the strong gains recorded by the central bank. Why Pakistan Foreign Exchange Reserves Matter For The Economy The continued increase in Pakistan Foreign Exchange Reserves carries significant economic implications. Higher reserves improve the country’s capacity to finance imports, meet external debt obligations, reduce pressure on the Pakistani rupee, and strengthen investor confidence. They also enhance the central bank’s ability to respond to external financial shocks without resorting to emergency policy measures. At the same time, the sharp monthly decline in gold reserves serves as a reminder that reserve valuations remain vulnerable to movements in global commodity markets. Investors and policymakers will therefore continue monitoring both foreign currency assets and precious metal holdings to assess the sustainability of Pakistan’s external financial position. Overall, the June 2026 reserve data points to a stronger external balance sheet despite short-term fluctuations in gold valuations. If this trend continues alongside stable exports, remittance inflows, and prudent monetary management, Pakistan’s foreign exchange position could provide a stronger foundation for economic recovery in the months ahead.

Sindh to introduce multiple insurance schemes with Private Sector
Pakistan

Sindh To Introduce Multiple Insurance Schemes With Private Sector

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KARACHI: Sindh Chief Minister Syed Murad Ali Shah has said the provincial government is working closely with the insurance industry to introduce multiple insurance schemes in collaboration with the private sector to expand financial protection and social safety nets for the people. Addressing as the chief guest at the 1st IAP & PSOA International Insurance Conference 2026 held in Karachi on Tuesday, he said the Sindh government is facilitating the growth of the insurance sector through supportive policies, including a significant reduction in taxes and the allocation of adequate funds for insurance premiums. Sindh Government Plans New Insurance Schemes Motor, Health, Agriculture and Accidental Death Coverage The Chief Minister said the Sindh government was the first in the country to introduce mandatory third-party motor vehicle insurance to provide financial compensation to victims of road accidents. Under the scheme, compensation of Rs700,000 will be paid in the event of death, while Rs500,000 will be provided in cases of permanent disability. He added that the provincial government is also working on a scheme to provide Rs100,000 in accidental death insurance coverage for every resident aged 18 years and above. Sindh Chief Minister Syed Murad Ali Shah said the government is also planning to introduce additional insurance initiatives in the health and agriculture sectors to extend financial protection and welfare to the people of Sindh. Mobile-Based Insurance and Regulatory Reforms Prime Minister’s Coordinator on Commerce Rana Ahsan Afzal Khan said the government is working to upgrade the existing agricultural financing scheme by introducing additional features aimed at strengthening and protecting the country’s agriculture sector. He said the insurance industry’s outreach could be significantly expanded by leveraging Pakistan’s large mobile phone user base through micro digital insurance solutions, making insurance products more accessible and affordable. He also underscored the need to establish a joint committee to identify and address the legal and regulatory bottlenecks hindering the growth of the insurance industry. Higher Insurance Penetration Could Boost Economy Adviser to the Ministry of Finance and Revenue Adnan Pasha said that if the insurance sector’s penetration doubled to 2 per cent of GDP, it could generate billions of rupees in additional economic activity and significantly strengthen the country’s financial ecosystem. He added that the government has introduced several initiatives in key sectors, including agriculture, housing, small and medium-sized enterprises (SMEs), and electric vehicles. These programmes are expected to stimulate economic activity, create wealth, and indirectly support the growth of allied industries, particularly the insurance sector. He noted that Pakistan’s low insurance penetration is largely attributable to limited public awareness and inadequate distribution channels, which should be addressed through collaboration within the industry and favourable government policies. Pakistan’s Insurance Penetration Remains Below Global Average Insurance Association of Pakistan (IAP) Chairman Shoaib Javed Hussain said Pakistan’s insurance penetration remains significantly below regional and global averages, highlighting the immense growth potential of the industry. He mentioned that Pakistan’s insurance-to-GDP ratio stands at 0.9 per cent, compared with an average of 4 per cent in regional economies and around 6 per cent in developed countries. Similarly, the country’s insurance density is only $14 per capita, compared with the global average of approximately $60 per capita. Mr Hussain said the low level of insurance penetration should not be viewed as a challenge but as a vast untapped opportunity for insurers to expand coverage, particularly among Pakistan’s young and growing population. He urged industry stakeholders to accelerate the sector’s growth through innovation, greater collaboration and stronger partnerships with the regulator. He also called for continued government support to strengthen the country’s regulatory framework and expedite reforms in key areas, particularly crop and health insurance, to improve financial protection for businesses and households. More than 500 insurance executives, actuaries, regulators, policymakers, and international experts gathered in Karachi on July 21 for Pakistan’s largest-ever international insurance conference, jointly organised by the Insurance Association of Pakistan (IAP) and the Pakistan Society of Actuaries (PSOA) under the theme, “Reimagining Pakistan’s Resilience: Building a Sustainable Future through Insurance.”

CCP fines MCI Bureau Rs5m for trademark fraud
Pakistan

CCP fines MCI Bureau Rs5m for trademark fraud

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CCP Imposes Rs5 Million Penalty Over Trademark Violation ISLAMABAD: The Competition Commission of Pakistan (CCP) has imposed a Rs. 5 million penalty on M/s MCI-Bureau of Inspection & Certifications Pakistan for fraudulently adopting a trademark and logo closely resembling that of Bureau Veritas, a France-based global leader in testing, inspection, and certification services, in violation of Section 10 of the Competition Act, 2010. Bureau Veritas Filed Complaint Against MCI Bureau Bureau Veritas filed a complaint with the CCP, stating that MCI-Bureau of Inspection & Certifications Pakistan and MCI-Bureau of Inspection & Certifications United Kingdom had adopted a deceptively similar trade name and logo likely to mislead consumers into believing that their services were associated with Bureau Veritas. CCP Finds Trademark and Logo Closely Resemble Bureau Veritas After examining the evidence, the Commission concluded that the respondent had copied the dominant features of Bureau Veritas’ registered trademark and logo, including the word “Bureau” and other distinctive elements of the registered mark. Applying the well-established principles of “overall similarity” and “net general impression,” the Commission held that the similarities amounted to fraudulent use of another undertaking’s trademark under the Competition Act. Colour Differences Did Not Eliminate Consumer Confusion In accordance with these principles, the Commission held that differences in the colour scheme did not materially distinguish the respondent’s logo, particularly where inspection reports and certification documents are routinely reproduced in black and white and consumers do not ordinarily compare competing logos side by side. Commission Questions Accreditation and Technical Competence The Commission found that MCI Bureau was aware of Bureau Veritas’ longstanding reputation and goodwill, noting that its withdrawal of a trademark registration application after the issuance of the CCP’s Show Cause Notice reinforced the inference that it recognised the similarity between the two marks. The Commission also found that the respondent failed to establish the expertise, technical competence, and accreditation required for specialised certification services. It observed that its subsequent business, “Inspect Assure,” similarly lacked credible evidence of competence and accreditation, risking consumer deception. CCP Orders Immediate Compliance and Warns of Further Action Besides imposing the financial penalty, the Commission directed MCI-Bureau to cease using the complainant’s trademark, adopt a clearly distinguishable mark, obtain the requisite accreditation before offering certification services, and submit a compliance report within 60 days, failing which further penalties may apply. The decision is not only about a copied trademark. It is about protecting consumers and legitimate businesses from deception, preserving confidence in testing, inspection and certification services that businesses, exporters and investors rely upon, and ensuring that undertakings cannot unfairly benefit from the reputation and goodwill of established international brands without the expertise, competence and accreditation those brands represent.

Sarsabz Unveils 'Dil Se Dekho Sarsabz Pakistan' Campaign Ahead of Independence Day
Pakistan

Sarsabz Unveils ‘Dil Se Dekho Sarsabz Pakistan’ Campaign Ahead of Independence Day

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Fatima Fertilizer’s Sarsabz Invites Pakistanis to Share Stories of Their Hometowns LAHORE, July 20, 2026: Ahead of Pakistan’s Independence Day celebrations, Sarsabz, the flagship brand of Fatima Fertilizer, has launched its nationwide digital campaign, “Dil Se Dekho Sarsabz Pakistan,” encouraging citizens to celebrate the country’s culture, diversity, and local heritage by sharing authentic stories from their hometowns. The campaign is built around the idea that Pakistan’s greatest strength lies in its people. It aims to showcase the nation’s rich traditions, breathtaking landscapes, vibrant communities, and cultural diversity through user-generated video content. Campaign Encourages Pakistanis to Showcase Their Hometowns As part of the initiative, participants are invited to create and share a short video highlighting what makes their hometown special. Entries can feature local culture, traditions, cuisine, landmarks, natural beauty, hidden gems, or inspiring stories that reflect the unique identity of their communities. The campaign emphasizes that while every region has its own story, together they represent the shared spirit that unites Pakistan. How to Participate To enter the “Dil Se Dekho Sarsabz Pakistan” campaign, participants must: The deadline for submitting entries is August 14, 2026. Grand and Weekly Prizes Up for Grabs The campaign offers participants the opportunity to win exciting grand prizes, while weekly winners will also receive special rewards throughout the competition. According to Sarsabz, the initiative aims to recognize the most creative and inspiring stories from across Pakistan, highlighting the country’s people, culture, traditions, food, scenic locations, and local heritage. Sarsabz Highlights Pakistan’s Diversity Speaking about the campaign, Ms. Rabel Sadozai, Director Marketing & Sales at Fatima Fertilizer, said Pakistan is a nation filled with inspiring stories waiting to be shared. She said the campaign seeks to encourage people to celebrate the places they proudly call home while showcasing the beauty, resilience, and diversity that define the country. According to her, every city, town, and village has something unique to offer, and the campaign provides a platform for Pakistanis to share those stories with the nation. She added that the initiative reflects the belief that Pakistan flourishes through the strength, pride, and spirit of its people. Celebrating Independence Day Through Local Stories Sarsabz has invited Pakistanis from every province, city, town, and village to participate in the campaign and present the Pakistan they know best. The company believes the country’s most inspiring stories are those experienced and shared “Dil Se”, encouraging citizens to celebrate their communities while strengthening a shared sense of national pride ahead of Independence Day.

Global Cotton Prices Seen Rising in H2 2026 as Supply Tightens, Weather Risks Mount
Pakistan

Global Cotton Prices Seen Rising in H2 2026 as Supply Tightens, Weather Risks Mount

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BMI Raises Global Cotton Prices Forecast for 2026 Global cotton prices are expected to remain firm through the second half of 2026 as tightening supplies and increasing weather-related risks continue to support the market, according to the latest report by BMI, a Fitch Solutions company. The research firm said market attention is shifting toward the Southern Hemisphere crop cycle, where the risk of adverse weather, particularly in Australia, could affect production and keep prices elevated. BMI has raised its forecast for the 2026 annual average of ICE-listed second-month cotton futures to 77.0 US cents per pound, up from its earlier estimate of 71.4 US cents per pound. The revised projection also represents a 15.3% increase compared with the 2025 annual average of 66.8 US cents per pound. Cotton Prices Expected to Strengthen Further BMI expects cotton prices to average 80.3 US cents per pound during the third quarter of 2026 before climbing to 82.5 US cents per pound in the fourth quarter as tighter supplies strengthen market fundamentals. Although cotton prices have eased since mid-May alongside lower oil prices, the commodity has remained more resilient than crude oil. Between May 11 and July 9, cotton prices declined 10.1%, compared with a 26.8% drop in crude oil prices, indicating that supply concerns are becoming the dominant market driver. So far this year, cotton prices have averaged 72.8 US cents per pound, up 8.9% from the 2025 annual average. Global Cotton Production Forecast to Decline BMI expects global cotton production to fall during the 2026/27 marketing season, with total output projected at 120.4 million bales, representing a 4.4% year-on-year decline. Lower production in Mainland China and the United States is expected to outweigh modest gains in India. Mainland China’s cotton production is forecast to decline 6.4% to 33.5 million bales, as government support for grain production encourages farmers to reduce cotton cultivation. In the United States, production is projected to fall 4.3% to 13.3 million bales, with many growers switching to more profitable crops such as soybeans. India is expected to remain an exception, with production forecast to increase 1% year-on-year, supported by slightly higher planting and improving domestic demand. El Niño Raises Weather Risks Weather remains one of the biggest factors influencing the cotton market. BMI noted that investor sentiment remains positive despite some moderation in speculative activity. Net long positions stood at 31,985 contracts as of June 30, down from the 2026 peak of 62,045 contracts recorded on May 19. The report highlighted that the US National Oceanic and Atmospheric Administration’s Climate Prediction Center confirmed El Niño conditions in June 2026 and expects the weather pattern to strengthen during the second half of the year. The agency estimates a 73% probability that at least a strong El Niño event will develop between July and September. Northern Hemisphere producers, including the United States, China and India, are expected to face relatively limited production risks because the most sensitive crop development stages occur before El Niño reaches peak intensity. Historically, El Niño brings below-average rainfall across Mainland China and South Asia, which may assist harvesting activities. In the United States, wetter conditions could disrupt harvesting but are not expected to significantly affect yields. Australia Faces the Biggest Downside Risk Australia is expected to face the greatest weather-related challenge, as El Niño is typically associated with drier conditions and below-average rainfall. According to the Murray-Darling Basin Authority, water storage across major cotton-growing regions in New South Wales and Queensland stood at 52.9% on July 1, 2026, compared with 60.4% a year earlier. Meanwhile, the US Department of Agriculture forecasts Australian cotton acreage to decline 30.9% year-on-year to 325,000 hectares, reinforcing expectations of lower production and supporting higher global prices. Cotton Demand Continues to Outpace Supply Despite concerns over global economic uncertainty and geopolitical tensions, including developments surrounding the US-Iran conflict, global cotton demand is expected to remain resilient. BMI forecasts global cotton consumption at 122.4 million bales during 2025/26, rising to 123.2 million bales in 2026/27, representing annual growth of 1.9% and 0.7%, respectively. As demand continues to exceed supply, the global cotton market is expected to move from a 3.6 million-bale surplus in 2025/26 to a 2.8 million-bale deficit in 2026/27, providing additional support for prices. Large Inventories May Limit Sharp Price Spikes Despite the tightening supply outlook, BMI believes substantial carryover inventories should help prevent the extreme price volatility experienced during 2021 and 2022. Global ending stocks are projected to reach 76.6 million bales in 2025/26 before declining 7.2% to 71.1 million bales during the following season. The report also assumes that shipping through the Strait of Hormuz will normalize by the first quarter of 2027, easing pressure on energy and fertilizer supply chains. Key Risks to the Market Outlook BMI identified three major risks that could alter its outlook for global cotton prices:

*Industry Cannot Plan Under Daily Fuel Price Changes, Says Abdul Rehman Fudda
Pakistan

Industry Cannot Plan Under Daily Fuel Price Changes, Says Abdul Rehman Fudda

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Industrialists Urge PM Shehbaz Sharif to Withdraw Daily Fuel Pricing Policy KARACHI: Pakistan’s industrial community has urged Prime Minister Shehbaz Sharif to reconsider the recently introduced daily petroleum pricing mechanism, warning that frequent fuel price changes could undermine industrial planning, raise production costs, and weaken the country’s export competitiveness. Industry Warns of Growing Business Uncertainty SITE Association of Industry President Abdul Rehman Fudda expressed strong concerns over the government’s decision to revise petroleum prices on a daily basis, saying the policy adds another layer of uncertainty for manufacturers already grappling with high electricity and gas tariffs, increased taxation, and rising operating expenses. He said businesses require a stable pricing environment to effectively plan production, manage inventories, and make investment decisions. “The industrial sector is already struggling with expensive energy and policy uncertainty. If fuel prices change every day, manufacturers will find it increasingly difficult to calculate production costs and maintain business stability,” Fudda said. Export Sector Faces Additional Challenges According to Fudda, export-oriented industries would be among the hardest hit by the new pricing mechanism because export contracts are often negotiated several months in advance. He explained that unpredictable fuel price movements during the production cycle could significantly increase manufacturing and transportation costs, reducing the competitiveness of Pakistani exports in international markets. He also noted that local manufacturers cannot revise product prices every day to offset fluctuating input costs, leaving many businesses exposed to shrinking profit margins. Call for Monthly Fuel Price Mechanism Fudda appealed directly to Prime Minister Shehbaz Sharif to withdraw the daily fuel pricing policy and restore a more predictable pricing framework. He proposed that petroleum prices should be revised on at least a monthly basis, allowing industries to plan production and manage costs more effectively. As an alternative to passing international oil price volatility directly to consumers and businesses, he suggested the government could temporarily adjust the petroleum levy to absorb short-term fluctuations. Business Community Seeks Stable Economic Policies The SITE Association president emphasized that a predictable policy environment is essential for sustaining industrial growth, protecting exports, and preserving employment. He expressed hope that the government would take the concerns of the business community into account and adopt a fuel pricing mechanism that balances fiscal requirements with the needs of manufacturers and exporters.

Pakistan International Bulk Terminal Prepares to Handle Reko Diq Copper and Gold Exports from Port Qasim
Pakistan

Pakistan International Bulk Terminal Prepares to Handle Reko Diq Copper and Gold Exports from Port Qasim

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For years, Pakistan International Bulk Terminal (PIBTL) played a critical role in supporting Pakistan’s industrial sector by handling millions of tonnes of imported coal while reducing environmental pollution around Karachi’s port areas. Today, the company is preparing for a much larger opportunity that could reshape both its future and Pakistan’s export economy. The terminal has secured expanded operational rights from the Port Qasim Authority (PQA), allowing it to handle, store and export copper-gold commodities, minerals, metals and other natural earth products. This strategic move positions Pakistan International Bulk Terminal as a key logistics partner for Pakistan’s rapidly emerging mining sector and opens the door to one of the country’s biggest export opportunities in decades. Pakistan International Bulk Terminal Targets the Mining Export Market The biggest development for Pakistan International Bulk Terminal is its agreement with Reko Diq Mining Company to manage the handling of copper and gold concentrate produced from the world-class Reko Diq mine in Balochistan. The Reko Diq project is expected to become one of the largest copper and gold mining operations globally. As production begins in the coming years, enormous volumes of mineral concentrate will require efficient transportation from the mine to international markets. PIBTL is positioning itself as a major export gateway capable of supporting these large-scale shipments. This strategic partnership could diversify the company’s revenue streams beyond traditional bulk imports and reduce its dependence on coal-related cargo operations. Pakistan International Bulk Terminal Shifts Beyond Coal Imports Nearly a decade ago, Pakistan International Bulk Terminal was established primarily to solve Karachi’s growing environmental and logistics challenges associated with unloading imported coal. The terminal significantly improved cargo handling efficiency while reducing coal dust pollution around Pakistan’s busiest commercial port. However, changing global energy trends and Pakistan’s increasing focus on export-led economic growth have created new opportunities for the terminal. Company management recently told investors that the business is evolving from a coal-focused import facility into a diversified logistics platform serving Pakistan’s expanding mining and mineral export industry. This transformation reflects a broader shift in Pakistan’s economic priorities, where increasing exports have become essential for strengthening foreign exchange reserves and reducing the country’s trade deficit. Pakistan International Bulk Terminal Secures New Rights A supplementary implementation agreement signed with the Port Qasim Authority grants Pakistan International Bulk Terminal the necessary concessions, rights and licenses to handle copper, gold, minerals and other natural resources. Unlike the company’s original agreement, which provided exclusive rights for handling cement and clinker cargo, the new mineral handling rights are non-exclusive. This means PIBTL has gained access to an entirely new business segment without receiving exclusive control over the market. Other operators may also compete for mineral export business, making operational efficiency, infrastructure investment and service quality increasingly important. Although the agreement does not create a monopoly, it provides the terminal with an early advantage in preparing for future export demand generated by Pakistan’s mining industry. Why Pakistan International Bulk Terminal Could Benefit from Reko Diq The Reko Diq project is widely regarded as one of Pakistan’s most valuable long-term investment projects. Once commercial production reaches full capacity, substantial quantities of copper and gold concentrate will require specialized storage, handling and export facilities. By securing an early partnership with Reko Diq Mining Company, Pakistan International Bulk Terminal places itself in a favorable position to capture a significant share of future export logistics. For investors, this development signals more than a new cargo category. It represents the possibility of long-term business growth driven by one of Pakistan’s largest resource development projects rather than traditional import activity. The Bigger Economic Picture Pakistan’s mining sector has long remained underdeveloped despite possessing significant natural resources. Large-scale projects such as Reko Diq have the potential to generate billions of dollars in export earnings over the coming decades. If supporting infrastructure continues to develop alongside mining operations, Pakistan International Bulk Terminal could become one of the country’s most important logistics hubs for mineral exports. While competition remains a factor due to the non-exclusive nature of the agreement, PIBTL’s early positioning gives it a meaningful opportunity to participate in Pakistan’s next major export-driven growth story.

The Boardroom PK delivers trusted business news, analysis, and insights from Pakistan and beyond, keeping readers informed, inspired, and ahead in the evolving world of business and leadership.

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