KARACHI: Buyers kept chasing quality lint which helped prices to stay firm on the cotton market on Monday. The fast dwindling cotton stocks with ginners and expected delay in arrival of new crop are causing panic buying.
Floor brokers said that fresh spell of rain in Punjab has had negative impact on raw cotton, which is already late by more than four weeks.
The textile industry fears shortage of cotton because current season’s stocks are only sufficient to meet next month’s demand.
However, ginners on their part are trying to hold back stocks to get higher prices, brokers said.
Consequently, most deals on ready counter were finalised at high prices but activity remained restricted because ginners were reluctant to dispose of their stocks.
The Karachi Cotton Association (KCA) spot rates remained unchanged.
The following deals were made on ready counter: 400 bales from Dhakri done at Rs5,250, 400 bales Feroza at Rs5,100, 600 bales Sadiqabad at Rs5,250, 800 bales Sahiwal at Rs4,850 to Rs5,125, 400 bales Mianwali at Rs5,225, 400 bales Uch Sharif at Rs5,300, 500 bales Shahar Sultan at Rs5,300, 600 bales Dera Ghazi Khan at Rs5,300 and 600 bales Alipur at Rs5,300.
Published in Dawn, March 31st, 2015
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