Cotton prices hit season's high at Rs 7500

Pries hit season's high at Rs 7500 level on the cotton market on Friday due to persistent rise in demand, dealers said. Resulting, the official spot rate extended overnight gains, gaining more Rs 100 to Rs 6,950, they said. In ready session, over 30,000 bales of cotton changed hands between Rs 6400-7500, thus interesting to note that since the week started rates picked up Rs 500 due to several factors, they said.
In Sindh, seed cotton prices were same at Rs 2800-3450, in the Punjab, rates also held the overnight levels at Rs 2800-3500, as per 40 kg, they said. Some analysts said that just six years before, cotton prices hit all-time high at Rs 14000 following the record rise in the oil prices in the world market.
Sharing the same views, cotton analyst, Naseem Usman said that now this time, rates of climbing on the back of short supply the world over and several other factors. The other reasons behind the price-hike in the local market are fading hopes for import of cotton from India because of tough conditions and poor quality of cotton, they observed.
Thanks to the sigh of relief, which receded panic buying of cotton as a result of high volatility in the money market, other experts observed. Adds Reuters: ICE cotton rose over 1.5 percent on Thursday, after falling for three straight sessions, supported by fund-buying and a softer dollar.
Cotton contracts for March settled up 1.22 cent, or 1.67 percent, at 74.13 cents per lb. It traded within a range of 72.91 and 74.23 cents a lb. Total futures market volume fell by 8,133 to 23,922 lots. Data showed total open interest gained 1,289 to 254,060 contracts in the previous session.
The following deals reported: 400 bales of cotton from Tando Adam at Rs 6400, 1600 bales from Dherki at Rs 7500, 600 bales from Ghotki at Rs 7300, 1400 bales from Saleh Pat at Rs 6850/7000, 1200 bales from Rohri at Rs 6750/6900, 1400 bales from Khanpur Meher at Rs 7250/7300, 1600 bales from Khairpur at Rs 6750/6900, 400 bales from Rajanpur at Rs 7500, 1000 bales from Kot Sabzal at Rs 7500, 1600 bales from Khanpur at Rs 7400, 2200 bales from Liaquatpur at Rs 7150/7400, 3200 bales from Rahim Yar Khan at Rs 7350/7400, 1200 bales from Shujabad at Rs 7150/7300, 2000 bales from Bahawalpur at Rs 7200, 400 bales from Lodhran at Rs 7200, 1600 bales from Ahmedpur East at Rs 7100, 600 bales from Mian Channu at Rs 7050/7100, 4400 bales from Yazman Mandi at Rs 6500/6950, 200 bales from Khanewal at Rs 6900, 600 bales from Hasilpur at Rs 6600/6750, 528 bales from Fazilpur at Rs 6700, 200 bales from Tonsa Sharif at Rs 6650, 400 bales from Haroonabad at Rs 6600, 600 bales from Fort Abbas at Rs 6600, 1200 bales from Chistian at Rs 6450/6500, 1600 bales from Mianwali at Rs 6500 and 600 bales from Layyah at Rs 6400, they said.

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The KCA Official Spot Rate for Local Dealings in Pakistan Rupees

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FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"

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                                    MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

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Rate              Ex-Gin   Upcountry   Spot Rate    Spot Rate    Difference

                    For      Price     Ex-Karachi  Ex. KHI. As   Ex-Karachi

                                                  on 14.12.2017

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37.324 kg          6,950      145         6,095        6,995        + 100/-

Equivalent

40 kgs             7,448      155         7,603        7,496        + 107/-

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