KARACHI: Some leading buyers remained at the forefront on Thursday and replenished their cotton stocks at higher level. However, short supply of quality lint restricted activity.

Reports of short crop – less than 8.5 million bales – have depressed market sentiments and buyers are already finding it difficult to get hold of quality cotton.

Cotton analyst Naseem Usman warned that if the government does not chalk out a strategy for the revival of cotton production soon, the next crop would be even shorter.

Usman said India is giving subsidy or support price to cotton growers for ensuring crop size and also engages the Trading Corporation of India (TCI) in procurement of cotton. There is no reason as to why Pakistani government does not do this to protect country’s interest, he added.

Meanwhile, members of the Brokers Advisory Committee met with KCA Chairman Khawaja M Zubair and asked him to take up the issue of crop failure with the government.

The world leading cotton markets slightly moved higher on reports that China has indicated some progress in trade talks with US while KCA spot rates were firm at overnight level at Rs8,900 per maund.

The following deals were reported to have changed hands on ready counter: 2,400 bales, station Ghotki, at Rs8,900; 1,500 bales, Panu Aqil, at Rs8,900; 3,000 bales, Mirpur Mathelo, at Rs8,900; 1,000 bales, Sadiqabad, at Rs8,900-9,000; 1,400 bales, Khanpur, at Rs8,850; 1,000 bales, Hasilpur, at Rs8,000-8,100; 1,400 bales, Haroonabad, at Rs8,000-8,100; and 1,000 bales, Bahawalnagar, at Rs8,000.

Published in Dawn, December 6th, 2019