June 27, 2007	Wednesday	Jamadi-us-Sani 11, 1428

KARACHI, June 26: Physical activity on the cotton market on Tuesday remained dull owing to persistent rains in the entire Sindh cotton belt and allied delivery problems.

But some brokers said stray lots from the central Sindh cotton belt did change hands delivery after the end to current spell of rains.

Owing to pressure on ready supplies and active mill demand, some of the ginners had raised their asking prices even for the low-mic lint and some spinners obliged them, they added.

But there was a relative quiet on the new cotton crop as picking operations of phutti remained suspended for the last four days and reports reaching here said it may not be possible to resume picking operations before a fortnight.

“Whether or not ginners will be able to meet the deadlines of their forward deals will be known after weather conditions improve but one thing appears certain that delivery deadline of late July and mid-August may not be met,” some ginners from the lower Sindh cotton belt said.

Persistent rain and cloudy weather is harmful to both the newly-sown and matured cotton at the picking stage as it damage quality as well as fibre strength of lint.

The local supply and demand picture will be clear possibly by the end of the current week after the stormy weather gets normal in the Sindh cotton belt. In the Punjab cotton belt the rainfall is said to be nominal, they added.

Reports from the New York Cotton Exchange was positive as the ruling new crop October contract was quoted at 59.00 cents per lb, off 0.30 cents, while maturing July contract was marked down by 0.30 cents at 55.45 cents per lb.

Local official spot rates on the other hand did not show any change and were quoted at overnight level of Rs2,600 per maund.