Cotton market: prices move up

Prices moved up on the cotton market on Wednesday in the process of trading, dealer said. The official spot rate was unchanged at Rs 5,400, dealers said. In Sindh, prices of seed cotton were at Rs 1800 and Rs 3000 and in the Punjab, rates were at Rs 2200 and Rs 3200, they said. In the ready business, 10,400 bales of cotton changed hands between Rs 4800 and Rs 5700, they said.
Market sources said that renewed buying orders helped the rates to maintained upward march. Supply position is short and this factor may cause further increase in the rates, cotton analyst, Naseem Usman said. Other sources said that overall activity remained moderate as demand from spinning industry failed to pick up due to reduction in the operational activity of most of the spinning units in the country.
NY cotton futures settled with little change on Tuesday. The following deals were finalised: 600 bales from Shahdadpur at Rs 5400, 400 bales from Salehpat at Rs 5500, 600 bales from Bahawal Nagar at Rs 4800/5300, 1000 bales from Haroonabad at Rs 4800/5500, 800 bales from Fort Abbas at Rs 5250/5425, 200 bales from Chichawatni at Rs 5275, 200 bales from Hasilpur at Rs 5300, 200 bales from Multan at Rs 5300, 400 bales from Faqirwali at Rs 5350, 600 bales from Bahawalpur at Rs 5375/5700, 600 bales from Ahmedpur at Rs 5400, 1000 bales from Rahim Yar Khan at Rs 5550/5650, 400 bales from Mianwali at Rs 5500/5690, 400 bales from Rajanpur at Rs 5600, 2600 bales from Fazilpur at Rs 5600/5700 and 400 bales from Yazman Mandi at Rs 5700.

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The KCA Official Spot Rate for Local Dealings in Pakistan Rupees

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

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                                    MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL

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Rate              Ex-Gin   Upcountry   Spot Rate    Spot Rate    Difference

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

                                                  on 12-01-2016

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37.324 kg          5,400      135        5,535         5,535            NIL

Equivalent

40 kgs             5,787      145        5,932         5,932            NIL

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