Brisk activity witnessed on cotton market

Brisk activity was again witnessed on the cotton market on Saturday as mills did not stop buying in anticipation of increase in prices, dealers said. The official spot rate was unchanged at Rs 3450, they said. Nearly 15000 bales changed hands between Rs 3425-3575, they said. Phutti prices were same in Sindh at Rs 1700-1725 and in Punjab at Rs 1725-1750, they added.
Some brokers said that mills continued cotton buying to meet the short-term needs. Another factor was rising apprehensions about the rise in prices after farm-related diseases and pest attack on crop. But interesting thing is that nobody has definite figure about the damaged crop, some analysts said. So, we can expect slight fall in the rates in the coming days, brokers said. In the meantime, ginners are satisfied with the present trend in the market, they added.
On Friday the NY cotton futures closed higher on technically motivated investor short-covering as fibre contracts bucked the liquidation pressure seen in most outside markets, brokers said. The December cotton contract in New York rose 0.32 cent to end at 61.24 cents per lb, ranging from 60.83 to 62.29 cents.
Volume traded in the December contract reached 11,542 lots at 2:51 pm EDT (1851 GMT). March cotton was up 0.18 cent to finish at 63.58 cents, dealing from 63.21 to 64.52 cents.
The following deals were reported: as some 3600 bales of cotton from Shahdadpur sold at Rs 3475-3500, 2000 bales from Tando Adam at Rs 3475, 1500 bales from Sanghar at Rs 3460-3475, 2000 bales from Mirpurkhas at Rs 3425-3465, 400 bales from Hala at Rs 3475, 600 bales from Khipro at Rs 3450, 600 bales from Khanewal at Rs 3550-3575, 600 bales from Rajan Pur at Rs 3575, 200 bales from Ghaziabad at Rs 3575, 200 bales from Gajjo at Rs 3575, 800 bales from Burewala at Rs 3575, 400 bales from Mian Channu at Rs 3550, 400 bales from Vehari at Rs 3550, 600 bales from Arif wala at Rs 3550, 400 bales from Bakhar at Rs 3560 and 200 bales from Madarsha at Rs 3550, they 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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37.324 Kgs     3,450.00      100                   3,550.00

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Equivalent

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40 Kgs         3,697.00      100                   3,797.00

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