Source: Business Recorder

RECORDER REPORT |

August 07, 2020

LAHORE: The Spot Rate Committee of Karachi Cotton Association on Thursday increased the spot rate by Rs 50 per maund and closed it at Rs 8250 per maund.Market sources told that the local cotton market remained stable. Market sources told that quality of Phutti as well as supply of the Phutti was affected due to the monsoon rains. The trading activities witnessed a little bit increase as the international firms are taking interest in buying. Sources also told that the sowing area of cotton has decreased by 20 percent. The major reason for the decrease in the production of cotton is non-availability of good quality seeds and failure of concerned departments to control pest pressure. The picking of cotton was affected due to rains in the different parts of the country.

Cotton Analyst Naseem Usman told that cotton cultivation land decreased in Punjab by 18%. During the current season, cotton cultivation in Multan district decreased by 25.72%. According to media reports paddy was cultivated in the cotton belt of South Punjab.

Naseem Usman also told that Cotton closed higher on hopes for improved demand and as bad growing conditions continued in West Texas. ICE cotton futures rose on Wednesday, trading just below 4 months peak hit in July as continued hot weather concerns along with a sliding dollar supported the virus – hit natural fiber market.

Meanwhile Khawar Noorani chairman of the standing committee on imports and convener of the yarn trade committee of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) and a former chairman of the Pakistan Yarn Merchants Association, has urged Prime Minister Imran Khan to withdraw the decision to impose two percent regulatory duty on polyester spun yarn to save the textile industry from disaster.

Naseem Usman told that 800 bales of Maqsoodo, 200 bales of Khadro, 200 bales of Shahpur Chakar, 200 bales of Jhole, 400 bales of Mirpurkhas, 400 bales of Moro were sold at Rs 8200. 1400 bales of Sanghar were sold at Rs 8175 to Rs 8225, 1400 bales of Shahdadpur, 2600 bales of Tando Adam were sold in between Rs 8200 to Rs 82250. While 200 bales of Burewala and 200 bales of Shujabad were sold at Rs 8450, 200 bales of Khanewal and 200 bales of Chichawatni were sold at Rs 8500 per maund.

He told that the rate of cotton in Sindh is in between Rs 8200 to Rs 8250. The rate of cotton in Punjab is in between Rs 8400 to Rs 8450. He also told that Phutti of Sindh was sold in between Rs 3500 to Rs 3700 per 40 kg. The rate of Phutti in Punjab is in between Rs 3700 to Rs 4000 per 40 kg.

The rate of Banola in Sindh was in between Rs 1450 to Rs 1500 while the price of Banola in Punjab was in between Rs 1500 to Rs 1600. The Spot Rate Committee of Karachi Cotton Association has increased the spot rate by Rs 50 per maund and closed it at Rs 8250 per maund. The polyester fiber was available at Rs 155 per kg. (Source: Business Recorder)