KARACHI, July 26: Physical activity on the cotton market on Thursday showed a sizable expansion as price ideas of both the spinners and the ginners seem to have finally found a meeting ground in line with their respective parity levels.

However, spinners purchased quality lint and that is perhaps why there is a difference of Rs100 per maund in the selling prices of fine and low-mic lots, dealers said.

The notable feature was that a maiden big lot of 1,800 bales changed hands at Rs3,050-Rs3,075 per maund reflecting that spinners and mills were out to cover their near-by forward requirements irrespective of the asking prices.Some of the deals in the new crop were finalised at the season’s highest level of Rs3,175 per maund in southern Punjab type and ginners hope that prices are likely to cross the Rs3,200-level in the near-term, said a broker.

“Whether or not spinners are getting a fair price after adding value to lint is not clear,” he said, adding “but the recent pick up in shipments of textiles show that the export outlets are now fully secured after initial setback”.

Moreover, recent incentives given by the government to the textile sector have increased their purchasing power on the basis of soft credit lines, they said.

New York cotton futures posted fresh fractional rise of 0.10 cents each for both the ruling October and the forward December settlements at 62.00 and 63.95 cents per lb respectively.

But on the other hand the local official spot rates were firmly held at the last level of Rs2,900 per maund.

Ready offtake was on the higher side totalling about 5,000 bales, the following being some of the notable deals.

SINDH TYPE: 1,800 bales, Sultanabad at Rs3,050 to Rs3,075, 200 bales, Hyderabad at Rs3,070, 400 each bales, Sanghar and Mirpurkhas at Rs3,075 and 200 bales, Shahdadpur at Rs3,100.