KARACHI: The spot rate committee of the Karachi Cotton Association (KCA) on Wednesday increased the spot rate by Rs 100 per maund and closed it at Rs 13000 per maund.

Cotton analyst Naseem Usman told Business Recorder that local cotton market on Wednesday remained bullish and volume remained satisfactory.

The rate of cotton in Sindh is in between Rs 13200 to Rs 13300 per maund. The rate of cotton in Punjab is in between Rs 13500 to Rs 13700 per maund.

The rate of new crop of Phutti in Sindh was in between Rs 5800 to Rs 6000 per 40 kg. The rate of Phutti in Punjab is in between Rs 6000 to Rs 6500 per 40 kg. The rate of Banola in Sindh is in between Rs 2000 to Rs 2100 per maund. The rate of Banola in Punjab is in between Rs 2000 to Rs 2200 per maund.

400 bales of Shahdad Pur were sold at Rs 13200 per maund, 2400 bales of Tando Adam, 800 bales of Sanghar were sold at Rs 13200 to Rs 13250 per maund, 200 bales of Khadro were sold at Rs 13250 per maund, 400 bales of Vehari were sold at Rs 13300 per maund and 200 bales of Chichawatni were sold at Rs 13700 per maund.

Technology and globalisation have created lucrative opportunities for the fashion and textile industry of Pakistan and they should be tapped by concentrating on branding and marketing, said Lahore Chamber of Commerce and Industry (LCCI) President Mian Tariq Misbah.

Chairing a seminar titled “Latest Trends and Collaboration in Fashion and Textile Industry” on Tuesday, he said that the textile sector was the backbone of Pakistan’s economy and held great significance.

“Pakistan is the eighth largest exporter of textile products in Asia, fourth largest producer and third largest consumer of cotton,” he said. “Pakistan’s textile sector covers 46% of the total manufacturing sector of the country and provides employment to 40% of the total labour force.”

He pointed out that the sector also held 60% share in total exports and contributed 8.5% to the gross domestic product (GDP).

Misbah remarked that Pakistan’s fashion designing and textile industry had emerged as important components of national trade because of their export potential. He was of the view that the two segments had tremendous potential to secure a mammoth share in the international fashion market, which was worth billions of dollars.

“Pakistani entrepreneurs have successfully earned good name in the local fashion industry and developed various prominent brands with the passage of time,” he said. “Some of them have been able to establish their brands in the international arena as well.”

He appreciated local women entrepreneurs, saying they were lifting the textile sector to new heights.

“Pakistan can grab a significant share in fashion industry exports if it succeeds in attracting the attention of foreign buyers,” Misbah added.

He stressed the need for focusing on value addition because it would help enhance profit margins in the export market.

He was of the opinion that by enhancing collaboration and liaison between the textile sector and the fashion industry, Pakistan could get the desired results.

The LCCI president also talked about the importance of forecasting trends in apparel business and said certain techniques were required to safely anticipate the future.

LCCI Vice President Tahir Manzoor Chaudhry said that Pakistani entrepreneurs associated with the fashion industry should remain up to date with modern requirements and be aware of the changing trends in the global market.

ICE cotton futures fell on Tuesday, tracking a slide in core grains markets and a firmer dollar, retreating from the highest level in more than four months, which was hit on concerns over weather as tropical storm Elsa took aim at Florida.

Cotton contracts for December fell 0.18 cent, or 0.2%, at 86.79 cents per lb, at 13:51 p.m. EDT (1751 GMT). Earlier, the December contract climbed by about 2.2% to as much as 88.89 cents, its highest since Feb. 25.

“What kicked the chair out from under cotton was corn opened limit down,” coupled with a drop in soybeans, an up tick in the dollar, and significant technical resistance near February’s highs, said Keith Brown, principal at cotton brokers Keith Brown and Co in Georgia.

In late February, cotton contracts for December rose to a peak of 89.28 cents per pound.

Chicago Board of Trade corn futures sank by the daily, exchange-imposed limit on Tuesday as forecasts for cool, wet weather in US growing areas eased concerns about unfavourable crop conditions.

The dollar strengthened on Tuesday, making cotton expensive for other currency holders, and limiting demand.

Cotton futures jumped earlier on concerns over adverse, wet weather, and it is still raining in West Texas, with Elsa expected to bring more rain to already waterlogged areas in Georgia, Brown added.

After a Wednesday morning landfall along Florida’s Gulf Coast, Tropical Storm Elsa is forecast to move north-northeastward across the southeast United States through Thursday, dropping 2-4 inches of rain across the Florida peninsula. Market participants also awaited a federal weekly crop progress report later on Tuesday.

The Spot Rate Committee of the Karachi Cotton Association increased the spot rate by Rs 100 per maund and closed it at Rs 13000 per maund. The Polyester Fibre was available at Rs 210 per kg.

Copyright Business Recorder, 2021