KARACHI: Steady conditions prevailed on the cotton market on Thursday amid fears of slowdown in phutti (seed cotton) arrivals and quality issues.

There is a stoppage of picking in Sindh due to a Hindu festival in Sindh and shortage of transport throughout the country ahead of Eidul Azha.

Floor brokers said that cotton prices continued to be on higher said due to problem of supply and demand and anticipated that situation would further deteriorate as Eid comes closer.

The spinners remained in the forefront of buying spree but were unable to enter into big deals as ginners were running in short supply owing to slow arrivals of phutti, they added.

Though a recent report of the US Agriculture Department has reported higher cotton sales in the world market, cotton prices generally remained under pressure. Rains in the US state of Texas have brightened prospects of better cotton crop this season.

In Pakistan, cotton prices continue to be on higher side due to fear of short crop and higher demand. Consequently, at times there is a panic buying which keeps pushing prices higher, brokers added.

The Karachi Cotton Association left its spot rate unchanged. Major deals on the ready counter were: 600 bales from Maqsoodo (at Rs6,800 per maund), 600 bales Mirpurkhas (Rs6,800), 600 bales Shahdadpur (Rs6,800), 1,600 bales Sanghar (Rs6,800 to Rs6,825), 2,000 bales Tando Adam (Rs6,800 to Rs6,825), 600 bales Hyderabad (Rs6,800 to Rs6,835), 600 bales Mian Channu (Rs6,900), 100 bales Renala Khurd (Rs6,900), 700 bales Burewala (Rs6,900 to Rs6,925), 600 bales Chichawatni (Rs6,900 to Rs6,925) and 2,200 bales Khanewal (Rs6,900 to Rs7,000).

Published in Dawn, August 26th, 2016