Improved business activity kept cotton prices firm

With improved business activity, dealers said that cotton prices remain firm on the cotton market on Friday. The official spot rate remain unchanged at Rs 6250. According to some experts, the revival of buying interest seen in the market as spinners rushed to replenish their stocks. In Sindh, seed cotton prices were at Rs 2600-3250, while the Punjab, phutti rates were at Rs 2800 and Rs 3500, as per 40 kg.

Some analysts said that prices maintained firm posture due to rising trend in the international markets. In China rates are firm and prices followed the same trend in India, particularly after the decision by the Cotton Corporation of India (CCI) to purchase local cotton.

Cotton analyst, Naseem Usman said that during the current year, country may achieve over 10 million bales of cottonr.

As per reports it appeared that India is becoming a major supplier of cotton yarn to Bangladesh and China. Local spinners, who are facing losses as a result of fall in exports, worried for losing their traditional market.

The following deals were reported to have changed hands: 1000 bales from Johl at Rs 6150, same figure from Rohri at Rs 6250-6300, 600 bales from Salehpat at Rs 6275, 400 bales from Bakkar at Rs 6225, same figure from Haroonabad at Rs 6350, same number from Chistian, 600 bales from Hasilpur at the same price, 400 bales from Sher Sultan at Rs 6400, 600 bales from Bahawalpur at Rs 6440, 400 bales from Fort Abbas at Rs 6450, same number from Yazman Mandi at Rs 6500, same figure from Multan, 800 bales from Rahimyar Khan at the same rate and 2800 bales from Khanewal at Rs 6575, as per dealers.

In the ready session, over 11,000 bales of cotton changed hands between Rs 6150-6575.