Non-stop buying pushes cotton prices up

Mills' non-stop buying following the apprehensions of short supplies pushed the rates higher on the cotton market on Thursday, dealers said.
The Karachi Cotton Association (KCA) official spot rate was unchanged at Rs 2425, without upcountry expenses. The Phutti prices in Sindh were at Rs 1150-1250 and in the Punjab it was available at Rs 1175-1275, dealers said.
In the ready business, several thousand bales of cotton changed hands at Rs 2500 following the news that the country might import cotton to meet the export commitments and local demand, leading brokers said.
According to a report, to meet the export requirements, the country may import two million bales of cotton during the current season. The pace of arrival of phutti so far, is indicating that the crop size might be around 12.5 million bales as there is some improvement in the crop size in Punjab and in Sindh the production is not sufficient, they said.
The Reuters adds: the New York Board of Trade's March cotton contract rose 0.49 cent to settle at 52.12 cents per lb, moving from 52 to 53 cents. May cotton added 0.48 to 53.53 cents. Back months increased from 0.34 to 0.79 cent.
The following deals were reported: 600 bales of cotton from Mirpurkhas sold at Rs 2350, 1000 bales from Tando Adam at Rs 2325-2350, 600 bales from Sultanabad at Rs 2360, 1000 bales from Shadadpur at Rs 2350, same figure from Sanghar at Rs 2325-2400, same figure from Nawabshah at Rs 2325-2375, same figure from Khairpur at Rs 2400, 1000 bales from Dadu at Rs 2423, 2000 bales from upper Sindh at Rs 2475, 5000 bales from Ahmedpur East at Rs 2500, 4000 bales from Bahawalpur at Rs 2500, 5000 bales from Rahim Yar Khan at Rs 2500, 4000 bales from Khanpur at the same rate, 2000 bales from Dera Gazi Khan at Rs 2475-2500, same figure from Jalalpur at Rs 2500, same figure from Sadiqabad, same figure from Rajanpur, same figure from Uch Sharif and equal figure from Multan at the same rate.

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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      2425.00         50                   2475.00

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

40 Kgs         2599.00         50                   2649.00

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