Spot rate was inched up by Rs 50, but traders are hoping for the Trading Corporation of Pakistan (TCP) intervention in the market to stabilise prices, dealers said on the cotton market on Monday. The official spot rate was raised by Rs 50 to Rs 5,550, they said.
Prices of seedcotton in Sindh were higher at Rs 2000-2400 and in the Punjab at Rs 2200-2800, they said. In ready dealings about 13,000 bales of cotton changed hands at Rs 4,000-6,000, they added. Market sources said that mills showed some resistance in fresh buying of cotton as the ginners raised asking prices. Most of the ginners held back the unsold stock in anticipation of better earnings, they added.
The Economic Co-ordination Committee (ECC) in its meeting on Tuesday may decide about the support prices of cotton, they said. In the meantime, mills trying to grab every lot at the present prices as they are sure that they would have to pay higher prices in the coming days, they said.
The following deals were reported: 400 bales of cotton from Khadro sold at Rs 4000, 3000 bales of cotton from Upper Sindh at Rs 5450/5500, 1000 bales of cotton from Bahawal Nagar at Rs 5400, 2000 bales of cotton from Faqir Wali at Rs 5400/5450, 2000 bales of cotton from Haroonabad at Rs 5400/5500, 400 bales of cotton from Hasil Pur at Rs 5500, 1000 bales of cotton from Fort Abbas at Rs 5600, 1000 bales from Bahawal Pur at Rs 5600, 400 bales from Rajan Pur at Rs 5800, 1000 bales from Mian wali at Rs 5800.
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The KCA Official Spot Rate for Local Dealings in Pak 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 07.01.2012
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37.324 Kgs 5,550 130 5,680 5,630 + 50
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Equivalent
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40 Kgs 5,948 130 6,078 6,024 + 54
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