KARACHI: The cotton market turned lacklustre on Saturday as buyers and sellers withdrew to the sidelines.

The market fears that the government may impose new taxes since the IMF is reportedly proposing some tough measures to reduce the budget deficit.

Barring short-term deals coming from some needy spinners, very few transactions were finalised on the ready counter.

The economic situation has to settle down at the earliest in order to allow business and industry to work on their future plans, observed a leading broker.

The uncertain situation has slowed down business and industrial activities and will lead to unemployment across the country, warned Chairman Karachi Brokers Forum Naseem Usman.

The Karachi Cotton Association (KCA) spot rates were firm at overnight level at Rs8,800 per maund.

The following deals were reported to have changed hands on ready counter: 400 bales, station Ghotki, at Rs9,100; 400 bales, Khanpur Mehar, at Rs9,100; 1,400 bales, Rahim Yar Khan, at Rs9,000; 400 bales, Liaquat­pur, at Rs9,000; and 600 bales, Mianwali, at Rs8,700.

Published in Dawn, November 18th, 2018