Commodities: Cotton hits Rs8,600 per maund
KARACHI: Cotton prices scrambled to an eight-year high level on Wednesday as short supply of phutti (seed cotton) failed to meet rising demand from spinners.
A big deal of 1,600 bales from station Tando Adam was finalised between Rs8,500-8,600 per maund and purchased by a leading spinner. The deal stands as the second highest cotton rate in the history of the country. According market sources, in 2010-11 cotton season domestic cotton prices surged to all time high level at Rs14,000 per maund, influenced by world market where prices rose up to US $2.29 per lb on strong demand for cotton from China.
Phutti prices also moved higher in sympathy and were quoted in the range of Rs3,800 to Rs4,150 for Sindh variety and Rs3,700 to Rs4,300 per 40 kg for Punjab quality.