05012016Sun
Last update: Sun, 01 May 2016 02pm

Cotton and Textiles: Pakistan

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Prices were stable on the cotton market on Friday as mills indulged in fresh buying to meet their urgent requirements, dealers said. The official spot rate was unchanged at Rs 5,600 dealers said. In the Punjab, prices of seed cotton showed no change at Rs 3100 and Rs 3400, they said. In the ready business, over 7000 bales of cotton changed hands between Rs 5200 and Rs 6000, they said.
Federal Minister for Petroleum & Natural Resources Shahid Khaqan Abbasi will visit the All Pakistan Textile Mills Association (APTMA) Punjab office on Saturday. He is likely to make some important announcements regarding new connections of gas supply to the Punjab-based textile mills on the occasion. The APTMA Punjab chairman Aamir Fayyaz would welcome him on behalf of the Punjab textile industry. He would also acknowledge the efforts made by the minister for energy supply to the textile industry in Punjab.
Gulzar Firoz, Chairman, Pakistan Tanners Association (PTA) in a press statement said that Leather Industry is facing the severest crises in the last 30 years. He said that recession in the world is one factor but cost of doing business in Pakistan and export incentives are more serious factors leading to sharp decline in export.
Both buyers and sellers adopted wait-and-see attitudes on the cotton market on Thursday to observe situation after Trading Corporation of Pakistan (TCP)'s entry into the market, dealers said. The official spot rate was unchanged at Rs 5,600 dealers said. In the Punjab, a very small size of seed-cotton left with the ginners, showed no change for inferior type at Rs 3100 while best quality picked up Rs 200 to Rs 3400, they said.
With barely a couple of hundred thousand bales (155 kgs) from the current crop (August 2015 / July 2016) remaining unsold with the ginners, mostly of lower grades, lint prices have risen to seasonal high levels. There are reports in the market that the Trading Corporation of Pakistan (TCP) has sold about 4,000 bales it was holding from the 2014 / 2015 crop at Rs 5,860 per maund (37.32 kgs) ex-warehouse, Karachi. TCP is still said to be holding nearly 80,000 bales of the 2014 / 2015 the quality of which is said to be fairly good.
Pakistan Yarn Merchants Association (PYMA) Central Chairman Muhammad Usman has urged the government to put fabric import from Dubai on negative list, as there are no weaving/knitting factories in Dubai, while the Indian fabric is simply being routed thru Dubai, resulting in huge losses to local industries.
Prices of cotton came down on the cotton market on Wednesday due to quality factor, dealers said. The official spot rate was lower by Rs 50 to Rs 5600, they said. In the Punjab, seed-cotton prices were at Rs 3100 and Rs 3200, they said. In ready session, only 3000 bales of cotton changed hands between Rs 3700 and Rs 5175, they said.