Cotton maintains bullish outlook
KARACHI: Cotton prices moved higher for the second consecutive session on Saturday spinners and exporters continued to replenish their stocks.
Cotton season in Punjab has reached maturity, allowing for increased availability of quality cotton. Sindh cotton was equally being sought after. However, Sindh faces short crop due to lesser sowing.
During the last two session cotton prices on ready trading moved higher by up to Rs100 per maund while the Karachi Cotton Association (KCA) spot rates were raised by Rs200 during past three days.
“The rising trend in cotton prices strongly indicates that the crop size is still doubtful even if official estimates by different government departments anticipate higher production,” said Naseem Usman.
The Cotton Crop Assessment Committee, which is a competent authority when it comes to cotton production figures, is holding its first meeting next week, he added.