Cotton yarn rates firm on sustained buying

Prices of yarn firmed on the cotton market on Wednesday on sustained buying in the process of trading activity, dealers said. The official spot rate was unchanged at Rs 8,800, they added. In the ready session, 5000 bales of cotton finalised between Rs 8350-9100, they said. Prices of seed cotton in Sindh were at Rs 3000-3500 and in Punjab seed cotton prices were at Rs 3000-3600, they said.
According to the market sources, a kind of firmness prevailed as mills were busy in buying of cotton to replenish their stock. Cotton analyst, Naseem Usman said that demand for cotton yarn improving due to upward trend in the international market. The prices are likely to show slight gains in days to come, he said and adding that in Sindh growers were facing problems during sowing due short supply of irrigation water.
Whereas, rains are expected in the cotton belt, which may ease water shortage problem in Sindh, other brokers said. In the world market, cotton prices were mostly higher due to sustained demand. The following deals reported: 1000 bales of cotton from Ahmedpur East at Rs 8350, 200 bales from Khanpur at Rs 9100, 1000 bales from Rahim Yar Khan at Rs 8900-9000, 1300 bales from Hasilpur at Rs 8600, 400 bales from Jahania at Rs 8700, 400 bales from Layyah at the same rate and 600 bales from Haroonabad at Rs 8750, 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"

                                    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 09-04-2019

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37.324 kg         8,800       160         8,960        8,960            Nil

Equivalent

40 kgs            9,431       171         9,602        9,602            Nil

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