Cotton prices firm on lacklustre business

30 May, 2017

Prices firm amid lacklustre business on the cotton market on Monday, dealers said. The official spot rate was unchanged at Rs 6850, they said. In the ready session, no business activity reported till our going to the Press, they said.
According to the market sources, little stock of unsold cotton with the ginners, propelled them to raise asking prices, but some leading mills and spinners were not interested in new deals mainly because of quality factor. Cotton analysts, Naseem Usman said that more or less the ginners have 100,000 bales of unsold stock, so that they suppose to earn profit, but the mills and spinners were not ready to oblige them. He said that trend in the local market was bearish in the absence of fresh leads. The US and China markets were closed due to holiday, he said. The textile sector is not satisfied as the government failed to announce any incentive or relief package for them, he added. The partial arrivals of new crop are expected till June 15, till then buyers would have to wait for fine quality, other experts 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 27.05.2017
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37.324 kg 6,850 135 6,985 6,985 Nil
Equivalent
40 kgs 7,341 145 7,486 7,486 Nil
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