September 24, 2006	Sunday	Sha'aban 30, 1427

KARACHI, Sept 23: The cotton prices remained under pressure for second consecutive day on Saturday amid heavy arrivals of phutti into Sindh and Punjab ginneries.

Consequently, it again turned out to be buyers market who dictated their terms for lifting restricted quantities of cotton to meet their immediate needs.

Reports reaching from cotton fields indicate that though the size of crop may have not been affected by recent heavy rains but some concerns are being shown about the quality of cotton.

The falling phutti prices from peak level of Rs1,400 of the current reason to Rs1,275 for Punjab and Rs1,100 per 40 kg for Sindh varieties is having a dampening affect on the local market.

Lack of buying from spinners also kept cotton prices under pressure. Barring few transactions originating from exporters the market remained dull.

Reports of worldwide higher production of cotton this season is also keeping the market under pressure and buyers seem to be in no hurry to replenish their stocks at this juncture.

Despite the fact that enhanced capacity of spinning would demand more cotton consumption but ongoing crisis in the textile industry is also having negative impact on the market where prices continued to be under pressure. The official spot rates of the Karachi Cotton Association (KCA) remained unchanged at overnight levels.

Market sources believe that spinners are staying away from the ring in order to build maximum pressure to bring down prices as they are presently confronted with a tough competition in the world market where regional countries are giving full support to their textile industry to stay afloat.

However, following transactions originating from exporters changed hands on ready counter: 2,400 bales from Shadadpur at Rs2,540-2,575, 2,400 bales from Mirpurkhas at Rs2,475-2,500, 400 bales from Shahdadpur Chakar at Rs2,515, 200 bales from Khipro at Rs2,515, 1,000 bales from Tando Adam at Rs2,550, 200 bales from Sakrand at Rs2,575, 2,000 bales from Bahawalnagar at Rs2,600-2,610, 400 bales from Kabirwala at Rs2,670, 200 bales from Chistian at Rs2,625, 200 bales from Gaggo at Rs2,650, 1,000 bales from Burewala at Rs2,625-2,675, 400 bales from Tanla at Rs2,590-2,600, 200 bales from Garah More at Rs2,595, 400 bales from Pak Pattan at Rs2,625, 200 bales from Hasilpur at Rs2,675, 200 bales from Mamon Kanjan at Rs2,625 and 200 bales from Arifwala at Rs2,600.