KARACHI, Jan 27: Trading on the cotton market on Monday resumed on a firm note as both the ginners and the spinners indulged in alternate bouts of buying and selling within their parity levels.

Floor brokers said the rigid positions taken by the both last week slightly softened as was reflected by the expanding ready offtake by the spinners.

Although the daily ready business of about 20,000 bales is still far below the normal figure at the peak season, a broad consensus on the quality factors and the matching prices seems to have taken away the speculative element from the trading, they added.

But credit apparently goes to ginners who have lowered their asking prices from the seasonal peak level of Rs2,300, which had forced spinners to withdraw to the sidelines to Rs2,250 per maund.

Some of the spinners are still claiming that the local prices are not that competitive, viewed in the backdrop of world prices, which are staying firm above 50 cents per lb, they are attractive enough.

Spinners said world prices are certainly higher but as its quality staple length-wise conforms to international standard of contamination-free higher counts of cotton yarn produced from it is sold at much higher rates.

“The sudden jump in import figures to 0.214m bales just within the last couple of weeks forces ginners to lower their asking prices, market sources said.

They said apart from the lint, which had already arrived into the godowns of spinners, an identical amount is said to be in the pipeline, allaying fears of further rise in local prices.

But spinners claim they are only importing long staple lint meant for blending purposes to produce higher counts of cotton yarn or cloth conforming to international standards.

“We will assess the local supply position by the middle of the next month and decide whether or not to go for the short or medium staple length from the foreign markets”, says a leading spinner.

Official spot rates did not show any change for the last couple of sessions in line with the prices at which ready business is being done.

Ready offtake was modest totalling about 8,000 bales mostly from the Sindh ginneries, the following being some of the notable deals: 300 bales, Nawabshah at Rs2,190, 1,100 bales, Punjmoro also at Rs2,190, 200 bales Bhan Saeedabad, 400 bales, Dadu, 400 bales, Kumb at Rs2,175, 600 bales, Chundko at Rs2,180, 200 bales, Hingorja at Rs2,175 and 400 bales, Pull Chatha (Punjab) at Rs2,200.