KARACHI, Sept 22: Cotton market on Thursday held on to its previous levels despite some negative news about the foreign demand owing to higher local prices but spinners remained active buyers around the current rates.

Most of the deals in central Sindh and Punjab varieties were finalized between Rs2,100 to Rs2,150 in the former and 2,175 to 2,200 per maund in the latter depending on the quality of lint in trade, dealers said.

But spinners and mills are active buyers at the current level as they lifted bulk of the lots offered by the ginners daily, although their average intake of about 10,000 to 15,000 bales is far below the normal figures, they said.

Floor brokers said the TCP had re-invited international tender for the 50,000 bales, offered some time back but failed to get fair price, which was said to be well below its benchmark.

It has set a benchmark price of 45 and 46 cents per lb for the entire lot but may not be able to attract foreign buyers owing to erratic price movements in the New York cotton futures against the backdrop of crop losses in the recent hurricanes, they said.

“The selling prices offered by the TCP are in line with the world rates of 50 to 51 cents per lb,” they said “as the local stuff is sold at a discount of about four to five cents per lb because of quality factors, the current offer could be very attractive for the foreign buyers.”

The TCP still hold an unsold stock of half a million bales from the old crop of 1.6m bales and has reactivated its procurement centres in Sindh to support the market at the rate of Rs2,269 per maund, they said adding “ginners have at their disposal the second buyer with a view to ensure a fair price to the grower.”

The next couple of sessions would be crucial for the future market trend and prices may rise from the current levels if the spinners and mills remained active buyers, they added.

Official spot rates were held unchanged, while New York cotton futures recovered by 1 and 1.32 cents per lb at 50 and 51.89 cents per lb for both the ruling October and the forward December contracts respectively.

Ready off-take was active as another 10,000 bales changed hands as under:

SINDH VARIETY: 1,200 bales, Mirpukhas at Rs2,100, 1,000 bales, Shahdadpur, 600 bales, Tando Muhammad Khan, 400 bales, each Bandhi, Nawabshah, Sakrand, Bucheri, New Saeedabad and Nayabad at Rs2,150, 200 bales, Khipro at Rs2,100, 400 bales, Sanghar at Rs2,100 to Rs2,125.