Prices moved higher on the cotton market on Tuesday as mills lay hands on fine quality amid rising concerns about imports of cotton in the near future, dealers said. The official spot rate was unchanged at Rs 8,600, they added. In the ready session, about 2000 bales of cotton changed hands between Rs 7000 and Rs 9000, they said.
Prices of seed cotton in Sindh and Balochistan were at Rs 3000-3500 and in Punjab seed cotton prices at Rs 3000-3600, they said. Commenting on the latest developments in the market, dealers said that some mills showed interest in fresh buying of cotton to replenish their stock. They said that locally falling area of cultivation, use of poor quality cotton seed and pesticides caused decline in quantity and quality of cotton. So the government has to take necessary measures to keep a balance between demand and supply.
Cotton analyst, Naseem Usman said that cotton market is under pressure slightly due to prevailing negative developments the world over. According to rumours, India may impose duty on Pak imports and exports raised concerns on Pak spinners as Pak spinners were depending on cotton imports from India.
Adds Reuters: ICE cotton futures were closed on Monday due to President Day holiday. Cotton prices mostly higher in other international markets. The following deals reported: 1000 bales of cotton from Dherki at Rs 9000, 400 bales from Mianwali at Rs 7950, 500 bales from Kabirwala at Rs 7000 and 400 bales from Rajanpur at Rs 8500, 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 18-02-2019
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37.324 kg 8,600 160 8,760 8,760 NIL
Equivalent
40 kgs 9,217 171 9,388 9,388 NIL
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Copyright Business Recorder, 2019

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