Commodities: Cotton prices move higher
KARACHI: Sustained demand from leading textile spinners pushed cotton prices up for the fourth straight session on Monday. Short supply of phutti (seed cotton) against higher cotton demand kept the market bullish.
Last week’s upward drive in cotton prices was evident on the week opening session as buyers kept looking for new crop cotton to meet their demand.
Reports coming from interior Sindh indicate that excessive heat has damaged standing cotton crop in Umerkot and Kunri. Phutti arrival in Sindh is quite satisfactory so far. However, so far in Punjab, phutti arrival is affected by heavy rains as well as shortage of trucks which are now diverted towards the haulage of sacrificial animals ahead of Eidul Azha.
Phutti prices remained on higher side in sympathy with rising cotton prices and were being quoted between Rs3,700-4,100 per 40 kg for both Sindh and Punjab variety.
The world leading cotton market also generally remained firm with no major price change was reported.
The Karachi Cotton Association (KCA) further raised spot rates for cotton by Rs50 to Rs8,450 per maund.
The following deals were reported to have changed hands on ready counter: 2,000 bales, station Tando Adam, at Rs8,525-8,550; 1,000 bales, Shahdadpur, at Rs8,525-8,550; 2,000 bales, Sanghar, at Rs8,500-8,550; 1,000 bales, Hyderabad, at Rs8,550; 600 bales, Mirpurkhas, at Rs8,550; 200 bales, Vehari, at Rs8,650; 400 bales, Chichawatni, at Rs8,650; 600 bales, Samundri, at Rs8,600-8,650; 200 bales, Pakpattan, at Rs8,600; and 400 bales, Haroonabad, at Rs8,600.
Published in Dawn, July 23rd, 2019