Steady trend witnessed on cotton market

Prices maintained steady trend on the cotton market on Friday in the process of trading activity, dealers said.

The official spot rate was unchanged at Rs 9450, they added. In ready session, over 10,000 bales of cotton changed hands between Rs 9075 and Rs 9750, they said.

Rates of seed cotton per 40kg in Sindh were at Rs 3600-4500 and in the Punjab prices were at Rs 3800-4800, they said. In Balochistan, seed cotton prices were at Rs 4200-4900, they said.

In Sindh, Binola prices per maund were at Rs 1400-1700 and in Punjab rates were at Rs 1550-1750, they said and adding that polyester fibre was at Rs 187.

According to the market sources, as usual mills were active buyers to meet their urgent needs. Non-availability of better type is causing unprecedented rise in the prices, they said.

Cotton analyst, Naseem Usman said that prices may go up in the coming days due to shortage of fine type. He said that Balochistan cotton prices hit Rs 10,000 level and prime cotton was available at Rs 9900.

Other traders said that light rains in Rahim Yar Khan and Upper Sindh may damage standing crop, which are already short in demand.

Reuters adds: ICE cotton fell nearly 2% on Thursday on weak export sales and uncertainty over a trade deal between the United States and China.

Cotton contracts for December fell 1.93% to 64.43 cents per lb as of 10:55 a.m. EDT (1455 GMT), having earlier slid to its lowest since Oct. 22, at 64.33 cents.

The following deals reported: 200 bales of cotton from Rohri at Rs 9075, 1000 bales from Khairpur at Rs 9100/9200, 1000 bales from Saleh Pat at Rs 9300/9450, 1000 bales from Ghotki at Rs 9600/9700, 400 bales from Dherki at Rs 9750, 400 bales from Pano Aqil at Rs 9750, 200 bales from Mirpur Mathelo at Rs 9750, 400 bales from Rajanpur at Rs 9200, 1000 bales from Fort Abbas at Rs 9375/9400, 800 bales from Haroonabad at Rs 9375/9400, 600 bales from Fazilpur at Rs 9400, 400 bales from Multan at Rs 9450, 200 bales from Shujabad at Rs 9500, 1000 bales from Jalalpur at Rs 9500, 800 bales from Ahmedpur at Rs 9500 and 800 bales from Sadiqabad at Rs 9700, 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 31-10-2019
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37.324 kg          9,450      160         9,610        9,610            NIL
Equivalent
40 kgs            10,128      171        10,299       10,229            NIL
===========================================================================