Lint price remained firm as buyer focused on fine grade

During the trading session, buyers remained eager for quality lots keeping physical price firm in lint market, while prices remained attracted for buyers with less liquidity, traders at the Karachi Cotton Association (KCA) said on Wednesday.

Mills in Sindh and Punjab stations made deals for all grades on cautious note as grade issue was continued. Traders offered all grades of lint on bargaining rates at around Rs 4,975 per maund to Rs 5,450 per maund in order to capitalize maximum returns on their proceeds.

Spinners remained cautious and only made deals to meet their immediate need of lint and in anticipation of influx of better grade.

Spinners in Sindh and Punjab stations bought fine grades on competitive price at around Rs 5,550 per maund to Rs 5,650 per maund while general buyers made deals for all grades in Punjab and Sindh stations at around Rs 4,975 per maund to Rs 5,150 per maund, traders said.

The spot rate at KCA remained unchanged at Rs 5,300 per maund in order to provide relief to weak stakeholders of raw grade to ward off minimal price level.

According to Shakeel Ahmad a fibre analyst, the textile sector is in need of fine grades, that were putting positive impact on prices besides market valuation.

Due to grade issue in parts of Sindh and Punjab stations buyers made forward deals for all grades of lint at around Rs 4,975 per maund to Rs 5,250 per maund. More than 200 bales changed hands with more than 65 percent of Punjab’s share in trading.

The growers in southern Punjab and upper Sindh improved their scouting against chances of virus attack while weather in cotton growing belt in Punjab remained suitable for standing crop. The shortage of energy to textile sector was still endangering cotton growers’ selling volumes.