KARACHI, Dec 19: Trading on the cotton market on Monday resumed on a cheerless note as ginners raised their asking prices on the perception that a below target crop figure could benefit them in the weeks to come.

According to the market sources the PCGA revised down the phutti arrival figures by 0.2m bales to 10.2m bales, while on the other hand the Cotton Crop Assessment Committee (CCAC), which met on Monday, raised the crop production to 10.27m bales from the previous estimate of 10.25m bales.

Brokers said that both the figures were expected to influence the market either-way in the coming sessions according to perceptions of ginners and spinners.

But mills think otherwise. Leading among them speculate higher unsold stocks lying with the ginners may force them to sell around the prevailing prices or below them as their holding capacity may not sustain the massive financial burden of stocks for a longer period, some brokers said.

“The battle of wits could remain the dominating force between the ginners and the spinners for the next couple of sessions and any blinking on part of the contenders may put them on a disadvantage”, they said.

However, one thing is clear that spinners and mills have to resume their covering operations irrespective of the price tag as they have still to go a long way to see the year through, they added.

But much would depend on the next fortnightly arrival figures, which in a way give a clear idea of the total crop including holding back of phutti stocks by some of the progressive growers to sell them at higher rates, ginners said.

“The size of crop could be 12m bales plus”, they said, adding “if supply and demand factors judiciously played their role ginners may be on the plus side”.

Meanwhile, reports coming from the cotton belt indicate that final picking of phutti has been completed in most of the areas and farmers are preparing their fields for wheat sowing and in some of the areas wheat has already been sown, market sources said.

Official spot rates were, therefore, again held unchanged but stray deals were done well above them.

Ready off-take was modest owing to price tussle as a total of 7,000 bales changed hands: 4,000 bales, Gothki, Mirpur Mathelo and Dharki at Rs2,425 and 400 bales, Multan also at the same rate.