KARACHI: Insipid conditions prevailed on the cotton market on Monday as traders stayed to the sidelines awaiting announcement of mini-budget on Jan 23rd.

Trading activity remained almost negligible as buyers are dwelling on the hope that the upcoming mini-budget would be tax-free after Finance Minister Asad Umar assured the business community the other day.

Spinners are also eyeing the depressed New York cotton rates as an opportunity to import quality cotton from the US at cheaper rates, a leading broker said.

They are also hopeful the removal of sales tax and customs duty on cotton imports will give them a huge relief and help improve exports, another broker said.

The phutti (seed-cotton) prices also remained on the lower side and were being quoted between Rs3,000-3,700 per 40kg for all the varieties.

Meanwhile, polyester filament yarn price was increased by Rs3 per kg to Rs190 per kg.

The Karachi Cotton Association kept its spot rates unchanged at weekend level of Rs8,700 per maund.

Published in Dawn, January 15th, 2019