October 11, 2006	Wednesday	Ramazan 17, 1427

KARACHI, Oct 10: The cotton market remained under pressure for the further consecutive session as prices further eased by Rs25 per maund on hasty selling by the ginners.

Spinners, however, remained active buyers at the prevailing prices and lifted all the lots offered by the Sindh and Punjab ginners, including some big-lot prevailing rates, dealers said.

Sindh type was traded between Rs2,350 and Rs2,400 per maund, and the Punjab variety between Rs2,400 and Rs2,450 depending on the quality of lint and its staple length, down by Rs25 as compared to previous session’s rate.

Continued fall in world prices was another bearish factor depressing the local markets, brokers said. During the last couple weeks lint prices have declined by about Rs150 per maund as the spinners and mills are the sole buyers and there are no signs of Trading Corporation of Pakistan’s (TCP) entry into the market to stabilise prices, ginners said. Phutti prices are also ruling slightly above the support level of Rs1,025 after having fallen from the peak level of Rs1,400 per 40 kg.

“It is right time for the TCP to re-enter the market to support a falling lint market,” the ginners said, adding: “As a second buyer its role is commendable to ensure fair prices both to the grower and the ginners as well as spinners.”

According to the cotton trade policy, the TCP was allowed to enter the market after prices fell below the support level as a second buyer after mills covered their forward positions.

However, there are no distress signals from the ginners about the TCP role and that is perhaps why the government is silent on the issue for the time being, brokers said.

Official spot rates were lowered by Rs25 per maund, while New York cotton futures also suffered fresh fall of 0.30 and 0.03 cents per lb for both the maturing October and the distant December settlements at 47.80 and 49.08 cents per lb, respectively.Ready offtake was on the higher side totalling about 13,000 bales the following being some of the notable deals:

SINDH TYPE: 1,000 bales, Shahdadpur at Rs2,400; 800 bales, Nawabshah also at Rs2,400; 1,200 bales, Mirpurkhas at Rs2,350 to Rs2,380; 800 bales, Tando Muhammad Khan at Rs2,350 to Rs2,390; 400 bales, Sakrand at Rs2,375 to Rs2,400; 200 bales, Pithero at Rs2,350; and 200 bales, Qazi Ahmad at Rs2,375.

PUNJAB VARIETY: 1,000 bales, Vehari at Rs2,390 to Rs2,395; 600 bales, Gojra, Rs2,415 to Rs2,425; 600 bales, Chichawatni at Rs2,335 to Rs2,450; 400 bales, Mongi Bungalow at Rs2,440 to Rs2,450; 200 bales, Bahawalpur at Rs2,410; 400 bales, Liaquatpur and 200 bales Bakhar at Rs2,400; 1,000 bales, Burewala at Rs2,425 to Rs2,450; 200 bales, Gelanwali at Rs2,450; 400 bales, Alipur at Rs2,425 to Rs2,450; 200 bales, Bahawalnagar and 400 bales, Chistian at Rs2,425; 200 bales, each Ghazi Ghat, Jhang, Multand, G. Khan and Rajanpur at Rs2,450; and 200 bales, Hasilpur at Rs2,440.