KARACHI, Feb 16: Cotton prices on Wednesday rose further higher as supply worries forced spinners to buy lint at the ginners' options but leading among them remained reluctant sellers, brokers said.

A big deal of about 4,000 bales from a southern Punjab ginnery was billed at Rs2,300, which is claimed to be season's highest level so far amid slow trading, they said.

"A stand off on the selling front appears to be imminent as ginners are in full control of the price situation, while on the other hand spinners and mills are operating under supply concerns", market sources said. Over the last couple of sessions, lint prices have risen by Rs150 to Rs200, apparently taking competitive edge from the spinners on the export front, they fear.

The future direction of the market is expected to be guided by the arrival figures of phutti for the fortnight ended Feb 15, due possible during the next two days, on which spinners are expected to base their near-term price perceptions.

However, one thing appears certain that latest figures, which will close to the final are said to be on the lower side of the earlier predictions, which in turn are fuelling the current price flare-up, brokers said.

Meanwhile, the end-product users are a bit buoyed by reports about the proposed incentive package for them to face the post-WTO situation on the world textile world markets. Whether or not the local yarn prices will remain competitive in the backdrop of rising lint rates will largely supplement their export effort, they said.

In the absence of deals in an average lint both from the central Sindh and Punjab, there was no change in the official spot rates, which remained pegged at Rs2,150 per maund. Ready off-take was light totalling 4,000 bales as under: 3,400 bales, Yazman at Rs2,300 and 400 bales, Rahimyar Khan at Rs2,250.