KARACHI: The Spot Rate Committee of the Karachi Cotton Association on Tuesday has increased the spot rate by Rs 200 per maund and closed it at Rs 10,400 per maund.
Cotton Annalyst Naseem Usman told that market remained bullish on Tuesday. Market volume also increased.
Meanwhile, ICE cotton futures jumped on Monday to their highest level in two years, supported by a weaker US dollar and a rally in the grains market, reaching just below the 80-cent level closely watched by analysts.
The cotton contract for March was up 0.69 cent, or 0.9%, at 78.81 cents per lb by 12:41 p.m. EST (1741 GMT)
The contract’s session high of 79.90 cents was its highest since December 2018.
“We are seeing quite a nice rally here. Some of the grains have been performing pretty well lately that could be transferring a bit to cotton,” said Bailey Thomen, cotton risk management associate with StoneX Group.
“With the new year, we’re seeing the stock markets performing pretty strong and then at the same time the US dollar is lower. However, prices found some resistance at 80 cents. All in all, the trend to the upside is still in place.”
According to a report, released by Pakistan Cotton Ginners Association more than 53 lac bales were produced in the country which is 34.01 percent less as compared to more than 81 lac bales produced till January 3 last year.
Despite the coronavirus pandemic, Pakistan exports continued to flourish hitting over USD 2.3 billion, the highest ever in the month of December.
“It gives me immense pleasure to inform that, Alhamdolillah, according to provisional data, Pakistan exports for the month of December 2020 have grown by 18.3 percent to USD 2.357 billion as compared to USD 1.993 billion in December 2019, an increase of USD 364 million over December 2019,” shared Advisor to Prime Minister on Trade and Investment, Abdul Razak Dawood in a series of tweets on Friday.
The advisor said that the figures are “the highest export ever in the month of December.”
For the period July-December 2020, Pakistan’s exports increased by 4.9pc to USD 12.104 billion as compared to USD 11.533 billion in the corresponding period last year.
“This shows the resilience of the economy of Pakistan and it is a vindication of the government’s policy to keep the wheels of economy running during COVID-19 pandemic. I commend our exporters for achieving this feat during these testing times and urge them to aggressively focus on capturing a larger share of international trade,” he said.
Dawood further lauded the exporters calling them ‘a great asset’ for Pakistan and saying ‘I salute you all.’
Naseem Usman told that 1200 bales of Ghotki, 1000 bales of Saleh Pat were sold at Rs 10,300 per maund, 500 bales of Shahahdad Pur were sold at Rs 10,000, 1000 bales of Khan Pur were sold at Rs 11000, 200 bales of Dera Ghazi Khan were sold at Rs 10,800, 200 bales of Rajan Pur were sold at Rs 10,800, 800 bales of Lodhran were sold at RS 9900 to Rs 10,700, 1600 bales of Fort Abbas were sold at Rs 10,100 to Rs 10,600, 600 bales of Rahim Yar Khan, 600 bales of Sadiqabad, 600 bales of Sajan Pur were sold at Rs 10,500, 2025 bales of Faqeer Wali were sold at Rs 10,100 to Rs 10,300, 200 bales of Kichi Wala were sold at Rs 10,250, 200 bales of Yazman Mandi were sold at Rs 10,200, 200 bales of Ahmed Pur East, 800 bales of Haroonabad, 200 bales of Marrot were sold at Rs 10,100 and 200 bales of Mian Wali were sold at Rs 10,000.
Naseem told that rate of cotton in Sindh was in between Rs 9700 to Rs 10,400 per maund. The rate of cotton in Punjab is in between Rs 9800 to Rs 10,500 per maund. He also told that Phutti of Sindh was sold in between Rs 3800 to Rs 4700 per 40 kg. The rate of Phutti in Punjab is in between Rs 4000 to Rs 5500 per 40 Kg.
The rate of Banola in Sindh was in between Rs 1600 to Rs 2000 while the price of Banola in Punjab was in between Rs 1750 to Rs 2200. The rate of cotton in Balochistan is Rs 10,000 per maund.
The Spot Rate Committee of the Karachi Cotton Association has increased the spot rate by Rs 200 per maund and closed it at Rs 10,400 per maund. The Polyester Fiber was available at Rs 183 per Kg.
Copyright Business Recorder, 2021