Commodities: Cotton price hits Rs7,000
KARACHI: Cotton prices rose for the fourth consecutive session on Monday to touch a seasonal high of Rs7,000 per maund (around 38 kilograms) as panic buying from spinners continued.
Spinners seem to be in a hurry to replenish their stocks amid fear of rain and short supply of phutti (seed cotton), floor brokers said.
An uptrend on world cotton markets against the backdrop of higher consumption and less production estimates was also impacting the domestic market, brokers said.
Some deals were reported to have been quoted even above Rs7,000 per maund towards the closing stages of the trading session on Monday.
Cotton analyst Naseem Usman said that possible heavy downpour in Punjab might damage cotton crop which had been already cultivated on a less area. Besides, many growers have shifted to sugarcane which was a hassle-free crop compared to cotton.