High prices of Indian cotton are not viable for Pakistani importers though India has put no restriction on export of raw cotton to Pakistan, importers in Karachi said on Monday.
Leading importers said when the prices of Indian good quality cotton were at 67 to 68 cents per pound Pakistanis booked over 200,000 bales, mostly for January delivery. Of these about 50,000 bales, were to be delivered in February.
The latest price on January 26, was 76.5 cents per pound for good quality Indian cotton.
This was the reason why Pakistanis did not book any more Indian cotton during last ten days, said importers.
"There is no ban on export of Indian cotton. I have already booked cotton from India," said the Chairman of All Pakistan Textile Mills Association Waqar Monnoo.
Importers said the Indian good quality cotton is usually 2 to 3 cents cheaper than other available cotton in the world market but its yield is also comparatively lower.
The yield on Indian good quality cotton is 86 to 87 percent while on good quality cotton of other countries it is 98 to 99 percent. So the cheaper price with lower yield makes the Indian cotton equal in value to other good quality cotton.
However, importers said the availability of Indian cotton would remain a great advantage to Pakistani textile industry because of quick delivery.
Comments
Comments are closed.