|
Dull trading on cotton
market
KARACHI-Cheerless trading
conditions prevailed on the cotton market on Thursday as both
buyers and sellers kept to the sidelines most of the time
awaiting apparently some fresh positive developments on the
export front.
Stray enquiries from some local mills were reported by leading
brokers but as the bid prices were claimed to be far below the
asking prices of ginners, ready offtake remained at a low ebb.
However, reports coming in from the upper Sindh and southern
Punjab ginneries indicate that leading group of spinners are
in touch with them and are making direct purchases at a
mutually agreed rate.
Floor brokers attributed the current stand-off on the ready
front to higher crop estimates and the perceptions of an easy
supply all through the current season ending August 31.
Although spinners still need over a million bales to meet
their annual consumption needs, they are not in a hurry to
chase prices higher owing to larger crop, they added. Prices
of some lower counts of cotton yarn have fallen modestly on
the local market, which also caused slow down in mill buying
at least for the near-term.
A relative slowdown in TCP buying has further encouraged
spinners to go by their own priorities rather than making
panic buying and that has in a way checked speculative rise in
prices, market sources said.
Some of the leading private sector exporters are in the market
and covering their forward sales but their intake is too small
to influence prices and that is perhaps why official spot
rates are almost stable around Rs1,800 per maund, they added.
Reports coming from the southern Punjab ginneries indicate
that arrivals of phutti from the growers have almost dried up
and they are in the process of getting final payments from the
ginners.
Ready business remained light as till late in the evening a
deal for 1,400 bales from Rahimyar Khan was reported at
Rs1,775.
|
The following are Thursday's new crop Karachi Cotton
Association (KCA) official spot rates for local dealings
in Pak rupees for base grade 3 staple length 1-1/32"
micronair value between 3.8 to 4.9 NCL. |
|
Rate for |
Exgin price |
Ex-gin price
including Sales Tax |
Upcountry Expenses |
Spot rate ex-Karachi
including Sales Tax @ 15% |
|
37.32 kgs |
1,800 |
2,070.00 |
50 |
2,120.00 |
|
Equivalent |
|
40 kgs |
1,929 |
2,218.35 |
50 |
2,268.35 |
Courtesy Dawn March
29, 2002
|
Pakissan.com;
|
