KARACHI, June 2: Trading on the cotton market resumed on a dull note on Monday as spinners and mills remained conspicuous by their absence apparently awaiting decline in prices in line with the international markets.

But ginners who still hold modest unsold stocks of lint, mostly of fine lots, were not inclined to lower their asking prices amid hopes of a fresh increase in prices, floor brokers said.

While leading among them demand a price of around Rs4,000 per maund for ready delivery, those from the central Sindh and Punjab sold some of the lots well below the newly-established benchmark of Rs4,000 per maund for premium lots, they said.

“The next couple of weeks could be very crucial for future price trend,” said a cotton analyst, adding “new crop lint is expected to be delivered to spinners who had signed forward deals with the central Punjab ginners for delivery by end-June.”

He said lint from the central Punjab cotton belt having medium and short staple length sown in different areas will set the future price trend elsewhere in the cotton belt, he said.

But it is clear that the local selling rates may not have any relevance to the world prices owing to two opinions about the size of the new crop, some others said.

Meanwhile, reports coming in from the major cotton growing areas indicate that sowing is well in progress and in some areas it has been completed despite shortage of irrigation water in the canal system.

Some ginners said owing to higher cost of inputs, including seeds, power and water, phutti price could hit the high mark of Rs2,000 per 40 kg or well above it.

There was no change in the official spot rates, which were firmly held unchanged at Rs3,700 per maund.

Ready off-take was modest as only 1,300 bales of Khanpur Mehar were done at Rs3,800 per maund.