Rates continued slide for the third consecutive day on the cotton market on Wednesday as picking operation started gaining momentum because smog have started lifting from cotton belt, particularly in the Punjab, dealers said. The official spot rate dropped further Rs 50 to Rs 6400, they said. In the ready session, around 22,000 bales of cotton changed hands between Rs 6000-6700, they said.
In Sindh seed cotton prices were at Rs 2700-3200, in the Punjab rates were at Rs 2800-3300, as per 40 kg, they said. According to the market sources, some leading mills were on the sideline but at the same time, some showed interest in purchasing of lint due to lower rates. Cotton analyst, Naseem Usman said that rates may come down under pressure on easy supply of seed cotton.
Commenting on the decline in volume of business, he said that expectation for lifting a ban on import of cotton from other sources was also a factor behind it. Under the circumstances, yarn prices also came down, he added. Adds Reuters: ICE cotton futures dipped on Tuesday weighed down by growing harvest pressure, with federal data showing steady progress in the US cotton harvest. Cotton contracts for March settled down 0.28 cent, or 0.41 percent, at 68.65 cents per lb. It traded within a range of 68.62 and 69.36 cents a lb.
Total futures market volume fell by 9,246 to 42,275 lots. Data showed total open interest gained 25 to 228,827 contracts in the previous session.
The following deals were reported to have changed hands on the ready counter: 1000 bales from Shahdadpur at Rs 6100/6200, 400 bales from Tando Adam at Rs 6000, 1600 bales from Ghotki at Rs 6695/6700, 1600 bales from Rohri at Rs 6400/6500, 400 bales from Khanpur Mehar at Rs 6700, 2000 bales from Khairpur at Rs 6400/6500, 2600 bales from Rahim Yar Khan at Rs 6700, 1600 bales from Sadiqabad at Rs 6700, 400 bales from Liaquatpur at Rs 6700, 400 bales from Fazilpur at Rs 6600/6650, 400 bales from DG Khan at Rs 6550/6650, 200 bales from Basti/M at Rs 6650, 1400 bales from Jalalpur at Rs 6500/6600, 200 bales from Channi Goth at Rs 6600, 400 bales from Tounsa Sharif at Rs 6550, 400 bales from Rajanpur at Rs 6550, 800 bales from Alipur at Rs 6550, 800 bales from Fort Abbas at Rs 6425, 400 bales from Haroonabad at Rs 6400, 1200 bales from Chistian at Rs 6350/6400, 400 bales from Burewala at Rs 6400, 600 bales from Faqirwali at Rs 6350, 600 bales from Bahawal Nagar at Rs 6350, 1200 bales from layyah at Rs 6300, 200 bales from Vehari at Rs 6300 and 800 bales from K/L/Esan at Rs 6300, 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 14.11.2017
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37.324 kg 6,400 145 6,545 6,595 -50/-
Equivalent
40 kgs 6,859 155 7,014 7,076 -53/-
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