MULTAN: With buyers and sellers reluctant to agree on a common price, trading activity failed to pick up on the cotton market on Friday.

The Karachi Cotton Association also kept its spot rate unchanged at Rs8,650.

Floor brokers said that buyers and sellers are seemingly marking time before drawing future strategy to get maximum benefit out of the current situation amidst rupee devaluation and declining trend in international market prices.

The international market is suffering due to the tussle between world’s largest cotton importer China and biggest cotton exporter US over tariffs.

The domestic market is at a standstill as the benefit the ginners were expecting is nowhere in terms of increase in the prices. However the cotton fabric market showed an increase in activity as compared to last week.

Market sources said cotton fabric exporters from US and European countries are active and some orders have also been received. Meanwhile, cotton cultivation in some areas of south Punjab has been affected due to heavy rain. About 15 per cent cultivated area needs to be redone following rain damage.

The following deals were reported to have changed hands on ready counter: 200 bales, Sadiqabad, at Rs9,125; 800 bales, Bahawalpur, at Rs8,500; 200 bales, Ghotki, at Rs9,000; and 400 bales, Mian Channu, at Rs8,000.

Published in Dawn, May 18th, 2019