Country's leading mills particularly Nishat Chunia Textile Mill indulged in panic buying, apparently, because of dollar's further gain versus the rupee, dealers said on the cotton market on Wednesday. The official spot rate was unchanged at Rs 6,350, they said. Price of seed cotton in Sindh per 40 kg at Rs 1800-2800 and in Punjab rates did not move any side at Rs 2500-3000, dealers said. In the ready session, over 45,000 bales of cotton changed hands between at Rs 5400-6600, they said.
Some experts were of the opinion that the main factor is coming up behind the panic buying of cotton by mills is expected rise in the dollar's value in days to come. Naseem Usman, cotton analyst, said that people hope some positive developments on the political and economically in the world and local market, as well.
Thanks to increase in demand by mills as ginners were looking now satisfied because they feel they will get some better return or profit, which will help in compensating huge cost of production in the absence of basic facilities, other analysts said.
Adds Reuters: ICE cotton set a three-week high on Tuesday as a storm blew into US key growing regions, but a notice that much-anticipated reserve sales will begin this week in top consumer China pared gains. The most-active March cotton contract on ICE Futures US climbed to 79.65 cents a lb before settling up 0.68 cent, or 0.9 percent, at 79.14 cents per lb. Trading volumes were lighter than average ahead of the US Thanksgiving holiday on Thursday this week. Trading of cotton futures on ICE will be closed on Thursday, and resume with a delayed opening on Friday at 8 am (1300 GMT) and an early close at 1 pm.
The following deals reported as 400 bales from Shah Pur Chakar at Rs 5400, 400 bales from Jhole at Rs 5400, 1000 bales from Khair Pur at Rs 6250-6350, 400 bales from Khair Pur (BCI) at Rs 6450, 400 bales from Upper Sindh at Rs 6300-6350, 1000 bales from Upper Sindh (BCI) at Rs 6450, 400 bales from Qabola at Rs 6350, 400 bales from Daran Wala at Rs 6350, 200 bales from Jahanian at Rs 6350, 3400 bales from Haroonabad at Rs 6350-6400, 800 bales from Bahawal Pur at Rs 6400, 1400 bales from Faqir wali at Rs 6400, 1600 bales from Hasil Pur at Rs 6400, 800 bales from Gaggo Mandi at Rs 6400, 400 bales from Burewala at Rs 6400, 600 bales from Khichi wala at Rs 6400, 600 bales from Fort Abbas at Rs 6400, 1400 bales from Maroot at Rs 6400, 1000 bales from Khanewal at Rs 6400-6475, 400 bales from Maroot at Rs 6400, 400 bales from Tonsa Sharif at Rs 6400, 400 bales from Pul Bagar at Rs 6400, 400 bales from Chistian at Rs 6400, 1000 bales from Yazman Mandi at Rs 6400-6450, 1200 bales from Ahmed Pur at Rs 6450-6500, 1600 bales from Shujabad at Rs 6450-6550, 400 bales from Jalal Pur at Rs 6500, 400 bales from Layyah at Rs 6500, 15200 bales from Rahim yar khan at Rs 6500-6550, 1000 bales from Sadiqabad at Rs 6550, 5000 bales from Khan pur at Rs 6550, 600 bales from Lodhran at Rs 6550 and 1000 bales from Ali Pur at Rs 6600, they added.
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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"
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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 26.11.2013
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37.324 Kgs 6,350 155 6,505 6,505 NIL
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Equivalent
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40 Kgs 6,805 155 6,960 6,960 NIL
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