KARACHI, July 3: Trading on the cotton market on Monday resumed on a steady note but physical business remained at low ebb owing to higher asking prices by the ginners. However, some of the brokers reported stray business in the central Sindh low-mic lint as some of the spinners covered positions against their forward sales of low count cotton yarn to some of their foreign buyers, dealers said.

They attributed the absence of leading spinners and mills from the market partly to higher asking prices and partly to the TCP tender for 42,000 bales to be opened on July 10.“The TCP offers a variety of lint comprising various grades providing a choice to spinners to buy according to their requirements and parity rates,” says a leading broker.

Most of the leading spinners prefer to go all-out for the

TCP lint for quality reasons and competitive prices in a tough local and foreign competition, they added.

Meanwhile, reports coming from the lower Sindh cotton belt indicate that some of the ginning factories are expected to resume new season operations this month.

The arrival of phutti into a dozen ginneries was said to be fairly steady as clear and warm weather has intensified picking operations in the entire belt after last Sunday’s rain.

The growers are selling the phutti between Rs1,110 and Rs1,135 per 40 kg as compared to official procurement rate of Rs1,025, ginners said.

The new crop is expected to find its way into the local textile mills by the end of the current month though a modest scale and will be available around Rs2,600 per maund plus.

Official spot rates did not show any change and were held at the previous levels amid modest ready off-take.

About 2,500 bales, reported to have changed hands below Rs2,600per maund mostly from the Sindh ginneries.