Modest trade activity

Modest trade activity was seen on the cotton market on Thursday as some needy buyers indulged in fresh purchasing of lint cotton, dealers said. The official spot rate was unchanged at Rs 7400, they added. In the ready session, over 1200 bales of cotton changed hands between Rs 6975 and Rs 7475, they said.
Brokers said that some spinners did purchasing of lint cotton to meet their urgent requirements. Shortage of quality cotton is a manor reason for less buying interest by the mills and spinners, experts said and adding that other leading factor behind the sluggish business is raising tension and uncertainty on political front. These factors shaken the confidence of traders, they observed.
The cotton plant sowed in beginning of the year, have died due to little water and excessive heat, they said. Cotton analyst, Naseem Usman said that 50 percent of sowing in Sindh have completed.
To achieve better cotton production, the Punjab Agriculture Department (PAD) has once again advised the cotton growers to complete their sowing by May 31, throughout the province. Growers are advised to use 6 to 8 KG seed per acre which having 75% of growing intensity. It is highly recommended to cultivate 10 percent area of the total non-BT varieties and this practice will discourage to build up immunity of harmful pests and insects of cotton crop.
In the world market, prices almost moved both ways during the trading session, they said. The following deals reported: 655 bales of cotton from Bakhar sold at Rs 7475 and 600 bales of cotton from Lodhran at Rs 6975, dealers said.

===========================================================================

The KCA Official Spot Rate for Local Dealings in Pakistan Rupees

---------------------------------------------------------------------------

FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"

---------------------------------------------------------------------------

                                    MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

===========================================================================

Rate              Ex-Gin   Upcountry   Spot Rate    Spot Rate    Difference

                    For      Price     Ex-Karachi  Ex. KHI. As   Ex-Karachi

                                                  on 16-05-2018

===========================================================================

37.324 kg          7,400      145        7,545         7,545            NIL

Equivalent

40 kgs             7,931      155        8,086         8,086            NIL

===========================================================================