Cotton prices likely to hit three-month high

Cotton prices likely to hit three-month high level at Rs 7000 in the coming days if weather condition not improves, dealers said on the local market on Monday. The official spot rate went up by Rs 50 to Rs 6450, they said. As a result, prices followed the same trend in the ready session, over 12,000 bales of cotton changed hands between Rs 6200-6700, they said.
In Sindh seed cotton prices were up by Rs 100 to Rs 2800-3200, in the Punjab rates were at Rs 3000-3300, as per 40 kg, they said. According to the market sources, rates are on rise due to heavy smog in Punjab and it looks that this factor may affect quality of cotton in the near future.
Cotton analyst, Naseem Usman shared the same views, saying that the country is importing cotton to make-up the requirements. The ginners were holding back the stock in anticipations of further increase in the rates. The mills were worried about the short supply of seed cotton but the sellers were not ready to oblige them.
The following deals were reported to have changed hands on the ready counter: 400 bales of cotton from Dadu at Rs 6400, 400 bales from Buchari at Rs 6200, 1000 bales from Dherki at Rs 6600, 400 bales from Mirpur Mathero at Rs 6600, 1000 bales from Khairpur at Rs 6500, 200 bales from Chistian at Rs 6400, 400 bales from Haroonabad at Rs 6400, 600 bales from Fatehpur at Rs 6400, 2000 bales from Rajanpur at Rs 6700, 1800 bales from Fazilpur at Rs 6700, 600 bales from Liaquatpur at Rs 6600, 400 bales from Burewala at Rs 6350, 200 bales from Vehari at Rs 6350, 400 bales from Yazman Mandi at Rs 6500, 600 bales from Sadiqabad at Rs 6600, 400 bales from Shujabad at Rs 6600, 1400 bales from Rahim Yar Khan at Rs 6600 and 400 bales from Chichawatni at Rs 6350, they said.

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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 1-1/16"

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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 04.11.2017

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37.324 kg           6,450      145       6,595        6,545          + 50/-

Equivalent

40 kgs              6,912      155       7,067        7,014          + 53/-

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