KARACHI, Sept 5: Cotton prices on Friday remained stable around the previous levels as mills continued to build-up long positions at the current levels amid brisk trading.

Floor brokers said phutti arrivals remained fairly steady as growers were not inclined to hold onto their unsold stocks for still better price and dumped readily picked phutti into the ginneries.

They said the prevailing phutti prices between Rs1,850 to Rs1,950 per maund for both the central Sindh and Punjab cotton belts were in line with the growers’ perception and that is why ginneries are being flooded with phutti.

“The second picking operations of phutti in the early sown areas is well in progress as was reflected by its steady arrivals into the ginneries give no idea of a short crop,” they added.

However, erratic either-way price movements did show that no one is sure of the damage caused to the standing crop in the Punjab cotton belt by the late pest attack, ginners said.

But the price differential between the Sindh and Punjab types did show that former is being sold at premium of Rs25 to Rs50 maund, they said.

The massive pest attack in the central and southern Punjab cotton belts may have lowered the projected output by about 15 to 20 per cent but some others put around 30 per cent, they added.

However, the current price premium is quality based and had nothing to do with the production estimates both in the Sindh and the Punjab cotton belts.

There was no official change in the spot rates, which were again held unchanged at Rs2,125 per maund.

But on the other hand New York cotton futures came in for active selling and were quoted lower by 1.21 and 1.23 cents at 65.98 and 68.46 cents per lb for both the ruling October and the forward December contracts respectively.

Ready off-take was on the higher side totaling 20,000 bales, including some big lots as under:

SINDH VARIETY: 1,200 and 1,000 bales, Shadadpur and Tando Adam at Rs4,150 to Rs4,175, 1,000 bales each Mirpurkhas and Khipro, 800 bales, Hyderabad, 400 bales, each Shahpur Chakkar and Nawabshah at Rs4,150 and 600 bales, Khipro at Rs4,125 to Rs4,150.PUNJAB VARIETY: 1,200 bales, Bahawalnagar and 1,000 bales, Burewala, at Rs4,100, 400 bales, Pak Pattan, 200, Mian Channu, 2,000, Khanewal, 200 Chichawatni and 600 bales, Sahiwal at Rs4,075 to Rs4,100 and 800 bales, Gojra at Rs4,050 to Rs4,100.