Prices ascended on the cotton market on Monday amid selective buying by mills and spinners mainly, dealers said. The official spot rate gained Rs 50 to Rs 5,300, dealers said. In Sindh, seed cotton prices were up by Rs 100 to Rs 2400 and Rs 3000 and in the Punjab rates were higher by Rs 50 to Rs 2500 and Rs 3100, they said. In the ready business, nearly 4,000 of deals were finalised between Rs 5400 and Rs 5600, they said.
Commenting on the thin business, cotton analyst, Naseem Usman attributed it to quality factor as the mills and spinners tried to lay hand over the fine type. He said that industries were facing several problems in the absence of basic facilities. In the absence of proper gas and power supply, it is not possible to continue routine works, so that mills adopted selective buying to shed their tension, he said. Some experts were of the view that the value added textile sector was busy to meet orders on time but gas suspension would create uncertainties in this sector.
They said that Pakistani exports were already on decline due to many reasons and now the gas suspension will add to their miseries further reducing textile exports. They hope the government would intervene to save exports. The following deals reported: 1000 bales from Sukkur at Rs 5400-5500, 600 bales from Chistian at Rs 5425-5500, 400 bales from Fort Abbas at Rs 5500, 600 bales from Yazman Mandi at Rs 5500, 400 bales from Faqirwali at Rs 5500 and 800 bales from Mianwali at Rs 5575-5600, dealers 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 1-1/32"
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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 14-11-2015
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37.324 kg 5,300 135 5,435 5,385 +50
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Equivalent
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40 kgs 5,680 145 5,825 5,771 +54
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Copyright Business Recorder, 2015

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