Lacklustre conditions witnessed at cotton market

The cotton market witnessed lacklustre conditions on Tuesday as most leading buyers remained preoccupied in clearing their accounts. The Karachi Cotton Association official spot rate remain unchanged at Rs 6250. While, in Sindh, seed cotton prices were at Rs 2600-3250 and in Punjab, phutti rates were at Rs 2800 and Rs 3500, as per 40 kg, according to dealers.

Furthermore, spinners are currently focusing on cotton imports from India because the production report released by the ginners’ body has not shown encouraging figures and estimated to be around 10.08 million bales.

Leading manufacturers and exporters of textile goods are also preoccupied in Heimtextil, the biggest trade fair of textile goods, being organised in Frankfurt, Germany, from Jan 10 to 13.

The world’s leading cotton markets remained steady, with Indian cotton getting impetus after the intervention of the Cotton Corporation of India for procuring around 1.5m bales.

Cotton analyst, Naseem Usman said that the release of PCGA fortnightly report indicated cotton production at 10.366 million bales, showing an increase by 11.72 percent against the last year.

Local prices may depict firmness in line with the international market. Despite a rise in arrivals figure, the ginners preferred to stay away so they could get higher rates for their unsold cotton stock, other experts said. However, a very little unpicked cotton stock has been left in the field, whereas the country has to import nearly four million bales to fulfil it’s requirements.

The following major deals were reported to have finalized on the ready counter: 800 bales from Duniyapur at Rs 6325 and 2000 bales from Sadiqabad at Rs 6500, dealers said. While in the ready session, around 3,000 bales of cotton changed hands between Rs 6325-6500.