KARACHI: Cotton prices remained steady on Friday while trading activity continued on the lower side due to the absence of leading buyers.

The market is eagerly awaiting the cotton production report in order to know the actual size of the current season’s crop. However, private estimates suggest that the last fortnightly phutti (seed cotton) arrival figures would be short due to heavy smog and fog which has paralysed life in Punjab.

Since the picking and haulage of phutti from fields into ginning factories remained suspended during this period, the volume could be between 1.2 million bales to1.3m bales against 1.8m bales recorded in the same period last year.

Moreover, lesser ginning units were reported to have operated during the last fortnight due to short arrival of phutti which was hindered by heavy smog and fog in Punjab.

Up to 90 per cent of the country’s cotton production comes from Punjab, therefore, any negative or positive development on cotton crop in the province will have a wide ranging impact on production, cotton broker Naseem Usman said.

The world leading cotton markets were generally steady, with New York cotton moving higher for all future contracts for the second consecutive day. The Chinese and Indian cotton markets were also firm.

The Karachi Cotton Association (KCA) spot rates were steady at overnight level.

The following major deals were reported to have changed hands on ready counter: 1,600 bales, Ghotki, at Rs6,675 to Rs6,700; 1,400 bales, Daharki, at Rs6,675 to Rs6,700; 2,000 bales, Khairpur, at Rs6,350 to Rs6,400; 2,200 bales, Rahimyar Khan, at Rs6,675 to Rs6,700; 1,400 bales, Khanpur, at Rs6,700; 800 bales, Sadiqabad, at Rs6,700; 1,200 bales from Ahmedpur East, at Rs6,450; 2,400 bales, Bahawalpur, at Rs6,450 to Rs6,500; 1,200 bales, Layyah, at Rs6,400; 800 bales, Faqirwali, at Rs6,375; and 200 bales, Rajanpur, at Rs6,700.

Published in Dawn, November 18th, 2017