May 01, 2007	Tuesday	Rabi-us-Sani 13, 1428

KARACHI, April 30: Trading on the cotton market on Monday resumed on an insipid note as leading spinners kept to the sidelines apparently anticipating further decline in prices.

Floor brokers said that spinners and mills absence from the market showed that now they were more interested to import lint after the decline of May and July futures contract below the 50 cent per lb on New York Cotton Exchange.

According to latest official figures spinners and mills have imported 50,180 bales of cotton from various sources against forward deals during the month of March.

The total import since the beginning of the new season from Aug 2006, totalled 0.323m bales that also included long staple types needed to produce higher counts of cotton yarn.

However, ginners who still hold about 0.350m bales, mostly of fine types, were not worried over the absence of mills and held on to their positions and did not lower prices, floor brokers said.

Market sources said spinners and mills were also awaiting the final crop figure to be released by the Pakistan Cotton Ginners Association (PCGA), possibly during the current week, which in their opinion could set the future market direction.

Meanwhile, reports coming from the major cotton growing areas indicate that growers have prepared their fields for the sowing of the new crop from May 15 and are expected to complete the entire operation by June 15.

Official spot rates were again firmly held at the weekend level of Rs2,700 per maund in the absence of ready business.

Although some of the brokers claimed that stray lots did changed hands in the southern Punjab ginneries but there was no official confirmation of any deal.