The leading buyers preferred to be on the sidelines due to lack of buying interest, dealers said on the cotton market on Saturday. The official spot rate was unchanged at Rs 7,500, they added. In ready session, only 200 bales of cotton changed hands at Rs 6850, they said. In both Sindh and the Punjab, seed cotton prices were same at Rs 2800 and Rs 3500, they said. Market sources said that the main buyers stayed away from the business activity mainly because of less interest in fresh buying.
Cotton Analyst, Naseem Usman said that buyers adopted wait-and-see attitude before making any deal. Some experts said that suggestions are coming up to achieve the cotton target. The government should take measures to help resolve the issue of demand and supply by using the areas where sugar and wheat crops are being produced, they said.
The country is achieving bumper crops of sugar and wheat, so that it can consider to exports them, the said. Whereas, due to shortage of cotton production, the government is importing cotton to meet demand and supply requirements, they said. Adds Reuters: ICE cotton futures gained 1 percent on Friday after a strong US government export sales report prompted purchases.
The most active ICE cotton contract for March expiry settled up 0.79 cent, or 0.96 percent, at 83.42 cents per lb. It traded within a range of 82.36 and 83.76 cents a lb. Cotton futures were up 2.1 percent for the week and marked its 12th weekly rise in 13. The US Department of Agriculture (USDA) on Friday reported exports of 289,900 running bales for the week ended Jan. 11, a marketing-year high, which were up 3 percent from the previous week and 27 percent from the prior 4-week average.
Total futures market volume fell by 14,652 to 31,908 lots. Data showed total open interest gained 4,089 to 308,726 contracts in the previous session. The following deal reported: 200 bales of cotton from Haroonabad sold at Rs 6850, 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 19-01-2018
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37.324 kg 7,500 145 7,645 7,645 NIL
Equivalent
40 kgs 8,038 155 8,193 8,193 NIL
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