Rates maintained rising trend on the cotton market on Saturday owing to persistent uncertainty about the availability of lint cotton, dealers said. The official spot rate gained further momentum by picking up Rs 50 to Rs 7000, they said. Thus, the rate has gained Rs 500 during the week owing to panic like situation in the market, they added.
In ready session, around 25,000 bales of cotton changed hands between Rs 6400-7500, they said. In Sindh, seed cotton prices were same at Rs 2800-3450, in the Punjab, rates also held the overnight levels at Rs 2800-3500, as per 40 kg, they said. According to the market sources, during the week, cotton traders were under fears owing to highly volatile situation. But on the other hand, they said that the outlook was bright.
Cotton analyst, Naseem Usman said that if dollar move further in the local money market, we can't reject the idea of more increase in the cotton prices in the coming days. Related to high-ups to business circle said that economy is inching towards point of no return due to disturbing interference of International Monetary Fund (IMF) in the Pak economy, therefore, people sitting on the helm of affairs must revisit economic policies.
They said that textile industry is the main victim of deepening economic crisis, furthermore rupee's devaluation is adding to the economic miseries of the country and all these ills produced just because of awful interference, they added. They said that Pakistan would be loser if immediate measures are not taken to get rid of the massive loans which are the mother of most of the economic ills. It's a tough step but not impossible task as if Turkey can do it, than why we cannot.
Adds Reuters: ICE cotton futures rose on Friday boosted by speculator buying, as the March contract touched an all-time high and notched an eighth consecutive weekly gain. Cotton contracts for March settled up 0.59 cent, or 0.78 percent, at 75.92 cents per lb. The contracts traded within a range of 75.04 and 76.75 cents a lb, an all-time high.
Total futures market volume rose by 12,005 to 45,460 lots. Data showed total open interest gained 4,528 to 261,667 contracts in the previous session. The following deals reported: 400 bales of cotton from Ghotki at Rs 7500, 400 bales from Saleh Pat at Rs 6900, 600 bales from Rohri at Rs 6775/6800, 400 bales from Khairpur Meerus at Rs 6800, 600 bales from Khairpur at Rs 6800, 7200 bales from Khanpur at Rs 7300/7500, 4800 bales from Rahim Yar Khan at Rs 7350/7500, 800 bales from M. P. Dewan at Rs 7350/7500, 600 bales from Sadiqabad at Rs 7500, 1200 bales from Jalalpur at Rs 7400, 400 bales from Mian Channu at Rs 7300, 400 bales from Liaquatpur at Rs 7250, 600 bales from Yazman Mandi at Rs 6700, 1400 bales from Haroonabad at Rs 6400/6650, 400 bales from Fort Abbas at Rs 6600, 800 bales from Faqirwali at Rs 6575, 1400 bales from Layyah at Rs 6425/6550, 400 bales from Mianwali at Rs 6500, 300 bales from Renala Khurd at Rs 6500 and 100 bales from Vehari at Rs 6500, 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"
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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 15.12.2017
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37.324 kg 7,000 145 7,145 7,095 +50/-
Equivalent
40 kgs 7,502 155 7,657 7,603 +54/-
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