Cotton market firm and steady on selective buying from needy spinners

With selective buying for quality cotton from needy spinners kept cotton market firm and steady on Thursday. The Karachi Cotton Association officially increased spot rates by Rs50, to Rs6,300 per maund (around 37 kilograms).

However, brokers said that phutti prices came down, with Punjab quality being quoted at Rs2,800 to Rs3,500 from Rs3,550 per 40kg. Similarly, the Sindh variety was also lower by Rs50, to Rs3,250 per 40kg.

The slow arrivals of phutti (seed cotton) strongly indicated that growers are presently holding very little stocks. Consequently, there was lack of trading interest as quality cotton was running in short supply.

According to Cotton analysts, reports that the government has allowed cotton import from India after earlier imposition of unannounced ban were not a new development because conditional imports of cotton were not stopped.

Major deals that changed hands on the ready counter were: 2,400 bales from Khairpur (Rs6,200 to Rs6,250), 2,400 bales Mianwali (Rs5,950 to Rs6,000), 1,000 bales Layyah (Rs6,000 to Rs6,300), 1,200 bales Burewala (Rs6,250), 14,00 bales Jalalpur (Rs6,425), 1,600 bales Shujabad (Rs6,400 to Rs6,550), 1,600 bales Ahmedpur (Rs6,600) and 1,200 bales Mian Channu (Rs6,600).

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