A few mills and spinners showed interest in fresh buying of low quality cotton on the local market on Saturday to meet urgent needs, dealers said. The official spot rate was inert at Rs 7400, they added. In both Sindh and Punjab, seed cotton prices were at Rs 2800-3100, they said. In the ready session, around 3000 bales of cotton changed hands between Rs 6800-7600, they said.
According to the market sources, a kind of dullness prevailed in the market these days due to shortages of fine quality cotton. They said that business circle particularly textile sector expressed their disappointment over the budget announcement because there was no any incentive for the value-addition textile sector.
It was a big surprise for the textile sector, which earns major part of foreign exchange, they said. The textile sector was expecting several concessions and incentives in the Budget 2018-19, they said. Cotton analyst, Naseem Usman said that end session could be a factor behind the slow activity, it is most likely that trading activity may not pick up in the coming days, he observed.
The leading world cotton markets gave mixed trend, they said. The following deals were reported: 500 bales of cotton from Rohri at Rs 7500, 400 bales from Mirpurkhas at Rs 7400, 600 bales from Khanpur at Rs 7600, 400 bales from Yazman Mandi at Rs 7400, 400 bales from Vehari at Rs 7000 and 400 bales from Bahawalpur at Rs 6800, they said.
===========================================================================
The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
---------------------------------------------------------------------------
FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"
---------------------------------------------------------------------------
MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
===========================================================================
Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 27-04-2018
===========================================================================
37.324 kg 7,400 145 7,545 7,545 NIL
Equivalent
40 kgs 7,931 155 8,086 8,086 NIL
===========================================================================