KARACHI: Slow trading was witnessed on the cotton market on Monday as buyers took to the sidelines.

Brokers blamed overall slowdown in commodity markets for low activity. Textile spinners who were active last week were absent on the cotton market. There was selective buying with strong focus on quality cotton, though prices stood firm.

It is being estimated that next crop could be bumper provided the government takes necessary measures including increase in area of cultivation, providing of certified seed and pesticides.

Cotton analyst Naseem Usman said that as per El Niño cycle, the climate pattern would be favourable for cotton crop and the country could easily achieve a target of 15 million bales.

He further said that cotton prices could surge in May when supply starts slowing down though there would be sustained demand from textile industry.

There is very little phutti (seed cotton) left behind in cotton fields and most of the supply is coming from ginners stocks, he added.

The Karachi Cotton Association (KCA) spot rates were firm at weekend level at Rs8,600 per maund.

Only two deals were traded: 600 bales, station Ghotki, at Rs8,850; and 2,000 bales, Rahim Yar Khan, at Rs8800.

Published in Dawn, March 12th, 2019