KARACHI: Buyers acti­vely went for big lot deals on Wednesday. Hounded by fears of further increase in dollar value against the rupee in coming days, millers are building up their stocks from local source. Government measures for increasing exports by giving concessional tariff for gas and power to five export oriented industries has further induced sentiment.

Resultantly, cotton prices moved higher and touched peak level at Rs9,000 per maund on ready counter. In sympathy the official spot rates were also raised by Rs150 per maund.

During the last three days cotton prices recorded an increase of Rs300 per maund which was in addition to the Rs600 raise registered last week.

Due to a rising trend in cotton prices, growers have started to hold on to phutti (seed cotton). Similarly, ginners are also holding back their stocks and releasing them gradually in order to get better rates.

The world leading cotton markets remained mixed with Indian cotton moving lower by Rs300 more per candy. Chinese cotton was firm while New York future contracts gave an erratic trend.

The Karachi Cotton Association (KCA) spot rates were raised by Rs150 to Rs8,800 per maund.

The following deals were reported to have changed hands on ready counter:

1,200 bales, station Shah­dadpur, at Rs8,500; 2,000 bales, Khairpur, at Rs8,900; 1,200 bales, Daharki, at Rs8,950-9,000; 1,600 bales, Rohri, at Rs8,900-9,000; 2,000 bales, Nawabshah, at Rs8,600; 1,200 bales, Saleh Pat, at Rs8,800-8,950; 1,200 bales, Rajanpur, at Rs9,000; 3,600 bales, Rahim Yar Khan, at Rs8,900; 3,600 bales, Fort Abbas, at Rs8,750-8,900; 1,200 bales, Layyah, at Rs8,600-8,850; 2,400 bales, For Abbas, at Rs8,675-8,800; 800 bales, Yazman, at Rs8,800; and 3,800 bales, Haroonabad, at Rs8,500-8,900.

Published in Dawn, October 18th, 2018