KARACHI: Sustained demand from leading textile spinners and short supply of quality cotton pushed up lint prices on Thursday. The market was also influenced by the rising trend in world leading cotton markets.

Trading resumed on an overnight firm note but as buying from leading spinners intensified cotton price reached a peak of Rs9,000 per maund.

Spinner, who were earlier worried about huge unsold stocks, are now readily disposing off the commodity at slightly better rates.

Market reports suggest that there is a rapid fall in stocks of quality cotton. In this scenario, the local textile industry — which was earlier procuring cotton from India — would not be able to meet its needs.

The cotton yarn market is also witnessing some demand and this encouraged some leading spinners to replenish their stocks at higher level.

New York cotton prices surged to touch three month high level and it is being reckoned that lower dollar has induced buying from exporters. Chinese and India cotton also recorded high movement of prices.

The Karachi Cotton Association (KCA) spot rates were revised upwards by Rs100 to Rs8,700 per maund.

The following deals were reported to have changed hands on ready counter: 4,800 bales, station Daharki, at Rs8,800-9,000; 1,400 bales, Ghotki, at Rs8,700-8,900; 3,400 bales, Rahim Yar Khan, at Rs8,800; 600 bales, Khanpur, at Rs8,800; 400 bales, Mian Channu, at Rs8,400; 600 bales, Dera Ghazi Khan, at Rs8,250; and 400 bales, Yazman, at Rs8,000.

Published in Dawn, March 15th, 2019