Renewed buying by spinners helped the volume of business to improve on the cotton market on Thursday, dealers said. The official spot rate was unchanged at Rs 6350, dealers said. In Sindh, seed cotton prices were higher by Rs 200 to Rs 3000-3300, they said. In Punjab, phutti rates rose by Rs 300 to Rs 3200 and Rs 3550, as per 40 kg, they added. In the ready session, around 7,000 bales of cotton changed hands between Rs 6100 and Rs 6650, they said.
According to the market sources, spinners were looking some active to make new deals for the near future. Cotton analyst, Naseem Usman was of the view that the situation has changed as Indian cotton prices went up sharply, and adding that a wave of import duty on cotton, is not so fruitful for the local traders because they have to pay higher rates for Indian cotton. So that they will prefer to buy local cotton, this factor encouraged domestic ginners, who are now able to gain profit under the circumstances, other experts said.
Pak exporters were expecting a better outcome of Heilmtextil fair in Germany, they said, and adding that there are rising hopes of winning several booking orders from the participating countries in the Heilmtextil exhibition.
Reuters adds: ICE cotton futures remained little changed in subdued trading on Wednesday as the market awaited the US government's world agriculture supply and demand (WASDE) report due shortly.
The March cotton contract on ICE Futures US settled down 0.05 cent, or 0.07 percent, at 73.14 cents per lb. It traded within a range of 72.99 and 73.81 cents a lb.
The following deals reported: 400 bales from Sanghar at Rs 6100/6300, 1200 bales from Nawabshah at Rs 6200/6300, 400 bales from Bandhi at Rs 6300, 622 bales from Mianwali at Rs 6000/6375, 600 bales from Bahawal Nagar at Rs 6500, 400 bales from Faqirwali at Rs 6500, 600 bales from Chistian at Rs 6500/6600, 1000 bales from Burewala at Rs 6550 and 2000 bales from Yazman Mandi at Rs 6600/6650, dealers 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 1-1/32"
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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 11-01-2017
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37.324 kg 6,350 135 6,485 6,485 NIL
Equivalent
40 kgs 6,805 145 6,950 6,950 NIL
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