KARACHI: Textile spinners took keen interest in quality cotton on Tuesday fearing damage to standing cotton crop in many parts of Punjab by flash floods that may be caused by sudden release of water from India.
At the outset, buyers chased quality lots which were in short supply because of slow arrival of phutti (seed cotton) from Punjab. However, brokers anticipate arrivals to pick up in the coming weeks.
The strong demand for quality cotton came amid fears of flash floods likely to damage standing cotton crop in Punjab – cultivated on large swathes of Kacha.
Consequently, spinners were seen chasing quality cotton as much of the trades were witnessed in Sindh variety cotton which is available in abundance.
On the global front, cotton trade remained hostage to US-China trade war following the changing statements from political leadership from both countries.
The New York cotton market closed mixed to easy and so did Chinese market. On the other hand, Indian markets were steady.
The Karachi Cotton Association (KCA) spot rates were unchanged at overnight level at Rs7,800 per maund.
The following deals were reported to have changed hands on ready counter: 1,200 bales, Shahdadpur, at Rs7,650; 3,600 bales, Tando Adam, at Rs7,550-Rs7,700; 1,000 bales, Sanghar, at Rs7,550; 1,000 bales, Mirpurkhas, at Rs7,550-Rs7,700; 600 bales, Chichawatni, at Rs8,150-Rs8,200; 400 bales, Hasilpur, at Rs8,100-Rs8,150 and 600 bales, Vehari at Rs8,050-Rs8,100.
Published in Dawn, August 21st, 2019
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