KARACHI, July 10: Trading on the cotton market on Monday resumed on bearish note as official spot rates were revised downward by Rs25 per maund in the absence of strong demand from spinners and mills.

Market sources said ginners lowered their asking prices apparently in line with the TCP tender rates, although they were still a bit higher than them because of quality reasons.

Floor brokers attributed the absence of the spinners from the market to the opening of bids against the TCP tender for the sale of 42,000 bales, mostly from the local buyers.

The highest rates offered by some of the spinners and mills for better quality lint at Rs2,450, while inferior varieties on sales were bid at Rs2,257 per maund, market sources said.

Unlike the previous TCP auctions, foreign bidders remained conspicuous by their absence apparently for quality reasons but the grades offered by the TCP were in line with consumption needs of the local textile industry, they said.

Indications are that all the bids may be accepted as the TCP is inclined to clear the backlog of unsold stocks in order to support the market if prices of the new crop fall from the officially fixed rates, dealers said.

Meanwhile, reports coming from the lower Sindh cotton belt indicate that picking operations of phutti in some of the areas have been resumed, while others are expected to follow the suit during the next couple of sessions.

Owing to rain in these areas the picking operations had to be suspended as the cotton fields were wet and the quality of phutti was damaged owing to excessive moisture, ginners said.

Official spot rates were lowered after remaining static for the last couple of sessions during the previous weeks and were quoted at Rs2,575 per maund.

Ready off-take was light totalling about 2,000 bales, mostly from the southern Punjab cotton belt sold around Rs2,550 and slightly below this level.