KARACHI, Jan 15: Trading on the cotton market on Monday resumed on bullish note as spinners and mills made aggressive covering purchases amid fears of an imminent price flare-up based on a short crop.

About 30,000 bales changed hands at higher rates as spinners resorted to panic buying and lifted all the lots including inferior ones with price gap of Rs150.00 between the fine and inferior lots, market sources said.The largest deal of 11,000 bales from Ahmedpur East and Chini Goth ginneries was finalised at Rs2,590 per maund and dealers said some of the ginners have further raised their asking price.

Some of the fine lots from the southern Punjab cotton belt were purchased at the season’s best level so far at Rs2,610.After having stayed on the sidelines last week in an apparent effort to push prices lower but failed, spinners and mills covered positions at bit higher levels, brokers said.

“Ginners now appear to be in a commanding position to set the future price trend,” they said adding, ”the gap between supply and demand would now be fully exploited in the coming weeks by the ginners.”

Although the official arrival figures are still away for the next couple of sessions, heavy mill buying reflects that spinners may have a fair idea about the size of crop, market sources said.

After several sessions of dull activity, official spot rates were revised upward by Rs25 per maund, although most of the deals in the ready section were finalised according to quality.

Ready off-take was fairly brisk totaling about 30,000 bales, the following being some of the notable deals:

SINDH VARIETY: 3,200 bales, Nawabshah at Rs2,400, 400 bales each Mirpurkhas, and Tando Adam and 500 bales, Khipro at 2,450, 1,000 bales, Shahdadpur at 2,485 to 2,550 and 400 bales, Mirpurkhas at 2,575.