KARACHI, Aug 11: Cotton market on Thursday maintained firm trend despite reports of steady arrivals of the new crop from the lower Sindh cotton belt as spinners lifted all the lots offered by the ginners.

About 2,000 bales of the new crop changed hands between Rs2,310 to Rs2,375 per maund depending on the quality of lint in trade amid active demand for the new stuff, brokers said.

Forward deals for the last week of the current month are being finalized slightly below the peak level around Rs2,300, indicating a fall in prices after the arrivals of phutti into the ginneries show further increase, they added.

The lower rates also reflect a good crop and ginners having first hand information on the crop size are making forward deals on the lower side as they could be the best rates in the backdrop of larger arrivals of phutti and an expected decline in prices, ginners said.

However, some others said it is too early to say something about the size of the crop and its impact on the prevailing prices but keeping in view the international price outlook, the current rates are on the higher side, spinners said.

The local market is also expected to heat up during the coming weeks as the TCP is holding its last auction for 81,600 bales on Saturday (Aug 13). If it manages to sell entire quantity in the auction, its total sales will hit 1.2m bales out of it stocks of 1.6m bales.

The government has set a sale target of 1.2m bales and directed the TCP to stop sales from Aug 15, and it has judiciously met the deadline well in time, brokers said.

The TCP sources said it would be last sale for the local textile industry, while it will continue its foreign sales during the coming weeks also.

Official spot rates did not show any changes as most of the deals were confined to the new crop, which was sold well above them.

New York cotton futures on the other hand remained under pressure and fell further by 0.64 and 0.81 cents at 48.51 and 50.33 cents per lb for both the ruling October and the distant December contracts respectively.

Ready off-take was on the higher side amounting to 2,000 bales, the following being some of the important deals: 400 bales, Mirpurkhas at Rs2,310, 200 bales, Sanghar at Rs2,350, 400 bales, Shahdadpur at Rs2,375 and 200 bales, forward delivery Sultanabad at Rs2,300.