KARACHI: Cotton prices remained firm on Wednesday amid steady flow of buying orders from millers. Short crop continues to panic the textile industry which is striving hard to get quality lots.

Market sources said the cotton economy is in shambles because of short crop. They blamed harsh climatic conditions as well as poor quality of seeds and pesticides behind low productivity.

There is a growing concern among textile spinning mills that huge imports of around 6 million bales would be difficult, particularly when the consignments have to be shipped from the US and Brazil.

The industry on an average needs around 15m bales but private estimates place current crop production at no more than 8.5m bales. This means that some 6m bales would have to be imported.

Phutti (seed cotton) prices also remained steady with Sindh variety quoted between Rs2,600-4,300. Punjab quality fared between Rs3,500-4,200 per 40kg.

Polyester fibre prices were reduced by Rs2 to Rs181 per kg.

The world leading cotton markets closed easy on reports of higher production in US and India.

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

The following deals were reported to have changed hands on ready counter: 5,400 bales, station, at Rs8,425-8,700; 3,000 bales, Rahim Yar Khan, at Rs9,200; 600 bales, Sadiqabad, at Rs9,200; 600 bales, Ghotki, at Rs9,250; 600 bales, Daharki, at Rs9,200; 400 bales, Khanpur, at Rs9,100; 600 bales, Fort Abbas, at Rs8,850; and 400 bales, Multan, at Rs8,900.

Published in Dawn, November 21st, 2019