Spinners continued to build up stock despite rising cotton prices

Despite rising cotton prices on Tuesday, spinners continued to build up their stocks fearing delay in arrival of next crop. The next cotton crop is likely to be late by three to four days, as a result of the ongoing spell of rain in Punjab and cold weather in Sindh.

The higher consumption of cotton by the textile industry is also putting pressure on lint prices which have moved to a seasonal high of Rs5,250 per maund. However, shortage of quality lint is another major factor which has pushed prices up.

The Karachi Cotton Association (KCA) left its spot rates unchanged.

Contrary to this, at the global front, world cotton prices remained under pressure where New York cotton moved lower for second week in a row. High stock in front of slow off-take is reported to have put pressure on world cotton markets.

The following were the major deals finalised on ready counter: 500 bales from Khanpur Mehar done at Rs5,200, 800 bales Bahawalpur at Rs4,700 to Rs5,000, 500 bales Shujabad at Rs4,900, 1,200 bales Haroonabad at Rs4,900 to Rs4,915, 1,000 bales Fort Abbas at Rs4,925, 600 bales Feroza at Rs5,050, 600 bales Mianwali at Rs5,250, 500 bales Dera Ghazi Khan at Rs5,240, 800 bales Sadiqabad at Rs5,250, 600 bales Yazman Mandi at Rs5,200, 500 bales Liaquatpur at Rs5,150, 800 bales Ahmedpur at Rs5,150 and 500 bales Khanpur Mehar at Rs5,200.