KARACHI: Rising cotton imports continued to influence prices on the local market where buyers remained away from the trading ring and preferred to mark time.

The trading volume also receded owing to lack of buying interest from spinners who are not getting good price for cotton yarn.

Though there was acute shortage of cotton in the country, big spinners were mostly relying on imported cotton which had lower landed price and was superior in quality, brokers said.

Market sources said that presently most of the cotton being imported was coming from West and East African countries and spinners were largely dependent on foreign cotton. The limited stock left with ginners was a cause of concern because there was little demand from buyers and this resulted in pushing cotton prices lower.

The Karachi Cotton Association cut its spot rates by Rs50, to Rs5,500 per maund. Major deals on the ready counter were: 200 bales from Faqirwali (at Rs5,400 per maund) and 400 bales Yazman Mandi (Rs5,425 to Rs5,450).

Published in Dawn, May 28th, 2016