Rates stabilised on the cotton market on Thursday as traders were expecting big orders from other countries, dealers said. The official spot rate was unchanged at Rs 5,400, dealers said. In Sindh, prices of seed cotton were at Rs 2000 and Rs 3000 and in the Punjab, rates were at Rs 2300 and Rs 3100, they said. In the ready business, over 5,000 bales of cotton changed hands between Rs 4350 and Rs 5700, they said.
They said that this year around 2,817 exhibitors from around 68 countries are participating in the Heimtextil, in Germany. Pakistan with around 219 exhibitors getting good response, they said. Cotton analyst, Naseem Usman said that encouraging news reaching despite the higher prices of Pak textile items, participators were taking interest.
Indian and Bangladeshi products were losing lustre due to poor quality, he added. Other reports, showing that China's government is consulting with the textile and cotton industry on plans to sell some of its bulging cotton stockpile, according to sources, a move that may drive domestic prices lower and further reduce import demand. Beijing is estimated to hold around 11 million tonnes of cotton stocks, about half of the global total, after a three-year stockpiling programme aimed at supporting farmers.
Reuters adds: Cotton futures rose for the third straight session on Wednesday, after the US government sharply reduced its outlook for world output in the prior session, and strong trade data from top cotton consumer China eased worries in global markets.
March cotton on ICE Futures US settled up 0.55 cent, or 0.9 percent, at 62.14 cents per lb. It traded within a range of 61.50 and 62.43 cents a lb. Total futures market volume fell by 5,310 to 22,609 lots. Data showed total open interest fell 1,063 to 182,594 contracts in the previous session.
The following deals finalised: 400 bales of cotton from Kumb at Rs 5400, 600 bales from Dharki at Rs 5650, 400 bales from Ghotki at Rs 5650, 800 bales from Haroonabad at Rs 5350-5375, 1200 bales from Rahim Yar Khan at Rs 5350-5650, 800 bales from Yazman Mandi at Rs 5400-5700, 600 bales from Fort Abbas at Rs 5440-5550 and 600 bales from Mianwali at Rs 5500-5600, they said.
===========================================================================
The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
---------------------------------------------------------------------------
FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"
---------------------------------------------------------------------------
MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
===========================================================================
Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 12-01-2016
===========================================================================
37.324 kg 5,400 135 5,535 5,535 NIL
Equivalent
40 kgs 5,787 145 5,932 5,932 NIL
===========================================================================
Comments
Comments are closed.