KARACHI: Renewed buying interest at lower level helped cotton market on Tuesday to check downward trend in prices. Much of the buying remained focused on quality cotton.

Latest cotton production figures released by the ginners’ body gave a gloomy picture, with private estimates now placing the crop at even less than 8.5 million bales.

Consequently, some big textile spinners returned to the market and indulged in panic buying.

Climate change is having a devastating impact on the quality and quantity of cotton crop. The textile spinning industry has so far purchased 5.2m bales only as against the estimated demand of 15m bales.

On the global front, New York cotton came under pressure following reports of bigger crop. The Chinese and Indian cotton markets closed steady.

The Karachi Cotton Association (KCA) spot rates were firm at overnight level at Rs9,000 per maund.

The following deals were reported to have changed hands on ready counter: 2,400 bales, station Ghotki, at Rs9,150-9,300; 2,000 bales, Daharki, at Rs9,200-9,250; 1,400 bales, Khairpur, at Rs8,450-9,700; 600 bales, Rahim Yar Khan, at Rs9,100; 1,000 bales, Haroonabad, at Rs8,950; 1,400 bales, Hasilpur, at Rs8,800-8,900; 1,200 bales, Yazman Mandi, at Rs8,875; and 1,400 bales, Shaher Sultan, at Rs8,850.

Published in Dawn, November 20th, 2019