KARACHI, March 3: Cotton market maintained a bullish trend on Monday as prices were quoted further higher on strong mill buying in a brisk physical trading.
About 25,000 bales, including big deals of 5,000 and 7,000 bales, changed hands as a leading spinner cartel was not inclined to stay on the sidelines on the changing pattern of world cotton trade, floor brokers said.
Some of the deals were done as higher as Rs3,500 per maund, while fine lots from the upper Sindh and southern Punjab cotton belts were sold around Rs3,400 per maund, they said.
“The persistent price flare-up on the New Cotton Exchange was said to be the chief factor behind the speculative increase in prices the world over, including Pakistan, they said, adding “there could be pressure on supplies but ruled out the possibility of steep rise for the near term.”
But spinners fear it may not be possible to contain prices of lint in line with their export parity levels despite the fact that forward deals for a substantial quantity were already made.
“The current price flare-up in global prices has also slowed down physical shipments of consignments from a number of countries,” they said, adding “the next couple of weeks will show whether or not the shipments are orderly.”
Meanwhile, arrival figures of phutti into the ginneries for the month of February are being awaited by both the ginners and spinners as they would have a bearing on ruling prices, they said.
Official spot rates did not show any change and were firmly held at the last level of Rs3,200 per maund for an average quality lint but fine lots were done well above this rate.
Mills ready off-take was on the higher side, amounting to about 25,000 bales, the following being some of the notable deals:
SINDH TYPE: 5,000 bales, upper Sindh at Rs3,350 to Rs3,400; 1,000 bales, Dharki at Rs3,450, 1,800 bales, Tando Adam at Rs3,335; 400 bales: Khipro at Rs3,325, Bandhi at Rs3,250 to Rs3,300, and Daur at Rs3,250.
PUNJAB VARIETY: 400 bales, Kabula at Rs3,500; 7,000 bales, Sadiqabad at Rs3,225 to Rs3,435; 1,600 bales, Shujabad at Rs3,250; 800 bales, Alipur at Rs3,300; 1,200 bales, Lodhran and 200 bales Bahawalpur at Rs3,400.
