January 24, 2002	Thursday	Ziqa’ad 9, 1422

KARACHI, Jan 23: Cotton market passed through another brisk trading session on Wednesday as spinners continued to build up long positions at the current levels amid fears of price flare-up.

“The entry of the private sector exporters and the TCP has added new dimension to the cotton trade as spinners, who were very choosy a couple of days earlier and enter the market at will, are not inclined to take even a technical breather,” floor brokers said.

Although both the TCP and the private sector exporters may not be in a position to match the spinners tally, they are not inclined to take the risks of increase in prices and remained active buyers for the second session in a row, lifting about 50,000 bales, they added.

However, exporters appear to be more active for the last couple of sessions but most of them are purchasing inferior lots between Rs1,475 and Rs1,550.

But one thing is certain that leading among them have secured a fair export business after things are settling down on the export front and importers have started opening letters of credit.

During the Afghan war, foreign buyers stayed on the sidelines for about two months and have just started new year buying and if one goes by their buying intentions, the export figures could swell to half a million bales, exporters said.

It is, however, too early to assume that prices could rise from the current level or not despite a possibility of a combined covering operation by the TCP, spinners and exporters, dealers said.

Spinners and mills’ major thrust on the good quality lint from the southern Punjab ginneries for which they are willing to pay a bit more as was reflected by the day’s total turnover.

Meanwhile, ginners appear to be a bit happy over the developing situation sans any further increase in prices but their long unsold position are getting the needed downward push.

Ready offtake was active as till late in the evening about 15,000 bales changed hands, the following being some of the notable deals:

SINDH VARIETY: 1,500 bales of Sanghar at Rs1,550 to 1,575 and 135 bales of Sultanabad at Rs1,485, purchased by an exporter.

PUNJAB TYPE: 1,000 bales of Alipur at Rs1,550, 1,000 bales, Rahimyar Khan at Rs1,725, 1,000 bales, Khanpur at Rs1,725, 4,006 bales, Rajanpur at Rs1,700, 500 bales, Sadiqabad at Rs1,700, 400 bales, Lodhran at Rs1,725, 1,000 bales, D.G. Khan at Rs1,550 to 1,650, 500 bales, Bahawalnagar a Rs1,550, bought by exporters, 400 bales, Kabiwala at Rs1,700, 400 bales, Gojra at Rs1,560 and 100 bales, at Rs1,250.