Cotton market failed to pick up despite withdrawal of duty exemption on import of cotton yarn

Trading activity failed to pick up even after the government’s move to withdraw five percent duty exemption on import of cotton yarn. Cotton trade remained low at the local markets which were against the trader’s expectation as they hoped to see to boost after imposition duty on import of cotton yarn.

The Karachi Cotton Association (KCA) reported few deals exchanging hands, 500 bales of cotton from Akri (Khairpur) at Rs 5300, 300 bales from Korandi (Khairpur) at Rs 5500 and 708 bales from Lodhran at Rs 6350. In the session, around 1500 bales of cotton changed hands between Rs 5300-6350 per maund as compared to 2,300 bales traded at Rs5,200 to Rs6,400 per maund on Saturday

Meanwhile, the KCA continued to keep its cotton spot (benchmark) rate unchanged for the fifth working day at Rs6,400 per maund.

There were several expectations that business will improve after the Economic Co-ordination Committee (ECC) decision, but it failed to improve business sentiment as was expected.

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