KARACHI: Trading activity on the cotton market remained slow on Saturday as high prices deterred buyers.
Trading on ready counter remained slow and small deals transpired. However, the overall undertone is strong and outlook bright.
The high trading volume noted at the beginning of the week faltered during the last two days as cotton prices moved up.
Prices for Sindh and Punjab cotton varieties hovered around Rs7,000-9,000 per maund and phutti (seed cotton) are quoted in the range of Rs2,800-3,600 per 40 kg. Balochistan cotton variety is quoted between Rs7,800-8,100 per maund and phutti in the range of Rs3,200-3,600 per 40kg.
There is noticeable increased in the off take of textile products including cotton yarn in the domestic market which is forcing many spinners to replenish their stocks at higher level.
Some reports suggest that arrival of cotton from India — which halted after recent tensions — is slowly resuming and will give local industry some relief. Ginners are still holding around one million bales.
The world leading cotton markets also recorded rising trend under the lead of New York cotton. Chinese and Indian cotton also closed higher.
The Karachi Cotton Association (KCA) spot rates were firm at Rs8,700 per maund.
The following major deals were reported to have transpired on ready counter: 400 bales, station Rahim Yar Khan were, at Rs8,800; 600 bales, Kabirwala, at Rs8,900; 400 bales, Ali Pur, at Rs8,900; and 300 bales, Ghara Mor, at Rs7,350.