Lower offer rates disappoint TCP

Thin business witnessed on the cotton market on Saturday as market players were on the sidelines in the process of trading, dealers said. The official spot rates remained unchanged at Rs 2225, without upcountry expenses. The cotton prices were within the band of Rs 2050-2200. Market sources said that the 43 textile mills and six exporters participated in the Trading Corporation of Pakistan' s (TCP) tender for selling 60,000 bales of cotton. Both textile mills and exporters offered lower rates, ranging between Rs 2007-2310, which disappointed the TCP, they observed.
It will be clear on Monday that how much offers are accepted by the TCP, they said.
The NY cotton futures were lower on Friday, dealers said. The NYBoT's May contract rose 0.45 cent to close at 56.15 cents a lb, trading from 54.51 to 56.20 cents. July fell 0.32 to 54.12 cents. The Distant months shed 0.50 to 0.58 cents.
Only one deal was reported of 1000 bales from Nawabshah at 2150, dealers said.

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The KCA Official Spot Rate for Local Dealings in Pak Rupees

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FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"

 MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

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Rate           Ex-Gin     Upcountry    Spot Rate Ex-Karachi

for            Price                        Sales Tax @ 15%

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37.32 Kgs      2225.00         50                   2275.00

Equivalent-------------------------------------------------

40 Kgs         2385.00         50                   2435.00

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