Cotton prices become steady

Cotton prices were stable on the market on Saturday amidst modest trading. The Karachi Cotton Association kept its spot rate unchanged at Rs8,200.

Cotton experts said a steady trend prevailed in the market as the cotton arrival which is improving with each passing day.

They said the quality of cotton from Sindh is attractive for mill owners. Phutti (seed cotton) from Sindh is priced higher by Rs100 and ranged Rs3,600-4,225 while Punjab variety is pegged at Rs3,550-4,150.

The All Pakistan Oil Mills Association (POMA) on Saturday announced that it will halt the purchase of seed cotton to protest the government’s decision of imposing general sales tax on the sale of oil cake. The association said old order will be delivered on Sunday but no purchase will be made. The protest will continue till the government withdraws the decision.

Meanwhile, a joint meeting of the Pakistan Cotton Ginners Association and POMA on Thursday discussed issued related to the cotton sector including crop target and due payment of the commodity to the cotton growers. The meeting demanded the government should announce a worthy cotton package, since without assistance achieving the set targets is not possible.

The following deals transpired on ready counter: 1,000 bales, Khanpur, at Rs8,600; 1,090 bales, Rahim Yar Khan at Rs8,500; 200 bales, Chichawatni, at Rs8,400; 200 bales, Bure­wala, at Rs8,450; 300 bales, Ahmedpur East, at Rs8,250; 2,000 bales, Sanghar, at Rs8,350, 2,400 bales, Tando Adam, at Rs8,350-8,375; and 1,600 bales, Khanpur, at Rs8,325-8,350.

Courtesy: Dawn