Rise in cotton prices in response to high demand from spinners

At cotton market as mills rush to secure bales to meet their requirement ginners has raised asking prices in response to high demand from spinners. There is a moved upwards and prices have surged to Rs6,000/maund, said brokers.

The Karachi Cotton Association rose the benchmark spot rate by Rs75 to Rs5,625/maund.

Reeling from supply problems, many spinners rushed to the market and started panic buying to refill their depleting stocks. Volumes were high with traders bought 11,424 cotton bales at the ready counter.

Prices for the fine quality lint ranged between Rs 5,200 to Rs6,000/maund.

On Thursday, 1600 bales of cotton from Nawabshah in Sindh are said to have sold at Rs 5200 to Rs 5450 per maund. In the Punjab, 400 bales from Liaqatpur were sold at Rs 5450 per maund, while 200 bales from Mian Channu reportedly sold at Rs 5550 per maund.

While, the Trading Corporation of Pakistan (TCP) reportedly sold 4000 bales of cotton from the 2014 / 2015 crop at prices ranging from Rs 5775 to Rs 5910 per maund on ex-Karachi basis to meet the demand for the textile industry.

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