Cotton market witnessed gain in prices due to short supply

Pakistan cotton market due to short supply of quality lint witnessed overnight gain in cotton price on Saturday. In the ready business, around 13,000 bales of cotton changed hands between Rs 5100 and Rs 5500. The official spot rate maintained rising trend for the second day, gaining further Rs 50 more at Rs 5,300, dealers said.

While, in Sindh, seed cotton prices were at Rs 2000-2200, and Punjab prices at Rs 2500 and Rs 2900.

According to market sources, some motivating factors propelled mills and spinners to make fresh deals despite the fact that rates were not matching with their psychological levels.

In fact buyers were under pressure, trying to replenish their stock amid rising fears of further increase in quality cotton in the coming days.

As per Pakistan Cotton Ginners Association (PCGAs) fortnightly report, out of total arrivals, Phutti equivalent to 9.73 million bales had undergone the ginning process. Besides, recent rains in cotton belt delaying sowing, giving impression about further dearth of lint cotton.

The experts advised growers to start the cultivation of cotton and complete it before the mid May to get bumper yield. They were also of the view that farmers should cultivate approved varieties of cotton seeds over maximum space because its production not only plays a pivotal role in meeting food and cloth requirements of people but it also helps growers in mitigating financial issues.

The following deals changed hands as per dealer: 800 bales of cotton from Mirpur Mathilo at Rs 5300, 700 bales from Khanpur Mehar at the same rate, 800 bales from Multan at Rs 5100-5275, 400 bales from Liaquatpur at Rs 5350, 3600 bales from Khanpur at Rs 5375-5475, 6000 bales from Rahim Yar Khan at Rs 5400 and 1311 bales from Fazilpur at Rs 5500.

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