KARACHI: Cotton prices on Monday surged to a seasonal high as spinners chased quality lots that ran short of supply.
A deal of 1,000 bales from Ghotki was done at the season’s highest rate of Rs8,200 per maund.
As the current season is coming to an end, spinners are indulging in intermittent buying and lifting only good quality lots. However, overall trading activity is at snail’s speed.
As per market reports, around 300,000 unsold bales are held by ginners, with a limited quantity of quality cotton.
Reports suggested that irregular supply of irrigation water in lower Sindh will affect cotton sowing. This is a cause concern for spinners who fear delay in the arrival of new crop.
Meanwhile, world leading cotton markets were also firm, with Indian cotton recording a big jump in prices on gaining Rs300 to Rs400 per candy (356kg).
The Karachi Cotton Association (KCA) spot rates were unchanged at Rs7,500 per maund.
The following deals were reported to have changed hands on the ready counter: 1,000 bales, Ghotki, at Rs8,200; 1,000 bales, Liaquatpur, at Rs7,725; 200 bales, Khanpur, at Rs7,000; 200 bales, Vehari, at Rs6,600; 200 bales, Sadiqabad, at Rs7,800; and 400 bales, Rahimyar Khan, at Rs7,800.