Increasing fog in most parts of cotton growing areas in the Punjab caused thin business on the cotton market on Monday, dealers said. The Karachi Cotton Association (KCA) official spot rate was unmoved at Rs 4,575, dealers said. In the ready business nearly 5000 bales of cotton changed hands between Rs 4460-4700. Phutti prices in both the Punjab and Sindh were at Rs 2000-2300, they added.
Commenting on the present trend in the market, chairman Cotton Brokers Association Naseem Usman said that the prices to maintain the levels due to increased forward buying of cotton. Main buyers were away from the market due to rising fog in cotton growing areas of Punjab but, it seems that they (buyers) will come back to cover the immediate needs, other brokers said.
Rising demand is expected and this factor may help the rates to stabilise in the coming days, they added. The Pakistan Cotton Ginners Association (PCGA) released it fortnightly report till January 15 at 12.2 million bales, they said. The cotton market in the New York was closed for the Martin Luther King Jr. holiday. Trading resumes on Tuesday. The following deals were reported: 400 bales from of cotton Karachi (Exporter to mill) sold at Rs 4500, 200 bales from Pethoro at Rs 4460 and 4000 bales from Sadiqabad at Rs 4650-4700.
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The KCA Official Spot Rate for Local Dealings in Pak Rupees
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FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"
MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
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Rate Ex-Gin Upcountry Spot Rate Ex-Karachi
for Price Sales Tax @ 15%
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37.324 Kgs 4,575.00 100 4,675.00
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Equivalent
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40 Kgs 4,903.00 100 5,003.00
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