MULTAN: Phutti (seed cotton) prices rose by up to Rs150 to nearly Rs2,900 on Friday because of sharp decrease in arrivals.

Cotton broker Syed Mudabbir Shah said phutti arrivals in Sindh have dropped by up to 85 per cent due to the recent rains in cotton belt of the province including Tando Adam, Shahdadpur, Hyderabad, Sanghar and Khipro.

Spinners believe that rains in Sindh and low cotton arrivals in Punjab could further increase demand-supply gap, hence hike in prices. The prices could increase by up to Rs300-400 after Eidul Fitr, the broker said.

The Karachi Cotton Association (KCA) kept its spot rate unchanged at Rs5,800. Only 4,600 bales changed hands across the country — 1,600 in Punjab 3,000 in Sindh.

The following deals were finalised on the ready counter on Friday: 800 bales Tando Adam at Rs5,800; 800 bales Sanghar at Rs5,600; 1,000 bales Shahdadpur at Rs5,800; 800 bales Mirpur Khans at Rs5,800; 400 bales Burewala at Rs5,850; 400 bales Chichawatni at Rs5,900; 400 bales Arifwala at Rs5,850/5,900; and 400 bales, Haroonabad at Rs5,850/5,900.

Published in Dawn, July 26th, 2014