June 26, 2007	Tuesday	Jamadi-us-Sani 10, 1428

KARACHI, June 25: Prices on the cotton market on Monday stayed firm owing to slow phutti arrivals into ginneries as growers in the lower Sindh cotton belt had suspended picking operations due to rains.

“Arrivals of phutti into the ginneries have virtually dried up owing to last two days rain and storm,” reports reaching here from the cotton belt said.

The picking operations were generally suspended for a week or so until the wet fields get dried.

Ginners said they may not be able to meet the delivery deadlines set for late July or mid-August as supply situation has changed owing to suspension of phutti picking.

“Some of us were planning to resume ginning operations by the end of next month as by that time substantial quantity of phutti has arrived into the ginneries but the monsoon spell has changed most of the ground realities,” they added.

There are reports of damage also to standing tender plants in the central Sindh and some other areas due to storm and rain during the last two days, market sources said.

However, it is too early to say something about the damage to final crop at this stage as much will depend on the growth of the new crop during the next couple of weeks.

“There may not be any change in the target of 14m bales as larger sowing of the B.T. cottonseed could make any shortfall as its per acre yield is about the double of the existing varieties,” some other said.

Official spot rates were again firmly held at the last level of Rs2,600 per maund but in the ready sections fine types were traded well above it.

Ready offtake was modest totalling 2,500 bales, mostly from the southern Punjab ginneries changed hands on an average rate of Rs2,700 per maund.