KARACHI, June 21: New crop prices on the cotton market on Saturday slightly eased as leading ginners from the lower Sindh cotton belt indulged in hasty forward selling to outwit their rivals.

Some of the ready deals are being finalized around Rs2,300, while others have lowered their forward prices for delivery by the end of the next month to Rs2,325 from early seasonal highs of Rs2,350.

Although arrivals of the new crop phutti are still to get normal, which were delayed due to recent rains, no one among the ginners is inclined to miss the current higher rate and is trying to make larger forward sales to the willing spinners.

Floor brokers said spinners and mills, notably those holding short stock positions are the chief buyers of any amount of bales around Rs2,300 or slightly below as it is in line with their export parity levels for both yarn and cloth. Indications are that spinners will continue to focus their attention on the new crop, which is available well below the current crop, difference being of Rs100 per maund.

“There is a possibility of an increase in the new crop prices to the level of the current crop during the next couple of weeks if spinners and mills continue make panic buying”, they said.

Those ginners who are holding an unsold stock of fine lots from the current crop totalling about 0.150m bales are not in a mood to sell below their parity rate of Rs2,500 per maund appear to be holding the price line.

“Their perception is that as the spinners are terribly short of their annual consumption needs and the new crop will not be that easily available in quantity, they have to return to them possibly during the next couple of weeks”, market sources said.

The higher world prices and pressure on world supplies owing to a short crop in some major producers also enhances their bargaining position in settling the selling prices, they said.

The New York cotton futures on Friday was quoted unchanged at 56.06 cents per lb for the ruling July contract but the new crop October settlement rose by 0.27 cents at 58.40 cents per lb.

There was, however, no change in the local official spot rates, which were quoted firm at the previous levels.

Ready offtake was light as till late in the evening about 400 bales of new crop from the lower Sindh cotton belt changed hand around Rs2,325 per maund for delivery early next month.