Trading activity came down on the cotton market on Monday as leading participants were confused about the issue of Gas Infrastructure Development Cess (GIDC), dealers said. As a result of slow business, the official spot rate down by Rs 50 to Rs 5450, dealers said. In the ready session, only 700 bales changed hands between Rs 4500-5700, they said. Seed cotton prices in Sindh were at Rs 2100-2700 and in Punjab at Rs 2500-3100, they said.
Market sources said that most of the participants were sidelines due to less buying interest. Cotton Analyst, Naseem Usman said that both buyer and seller were worried over the issue of GIDC. Other analysts said that the government move would further bring economic and industrial stagnation and slow-down businesses in the country. They said that the government should revise its policies and make business-friendly decisions to move the hurdles in the way to smooth business. The following deals reported: 500 bales of cotton from Daur at Rs 4500 and 200 bales from Dharki (Conditional) at Rs 5700, 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 1-1/32"
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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 23.05.2015
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37.324 Kgs 5,450 150 5,600 5,650 -50
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Equivalent
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40 Kgs 5,841 160 6,001 6,054 -53
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