February 26, 2020
KARACHI: Volume of business went up on the cotton market on Tuesday as some leading mills indulged in panic buying following the uncertainties created by spread of coronavirus the world over, dealers said. The official spot rate maintained week-end level at Rs9000, they added. In the ready session, near about 12000 bales of cotton changed hands between Rs8650-9000, they said.
Rate of seed cotton per 40kg in Sindh low quality was at Rs2800, while the best quality was unchanged at Rs4100, and in the Punjab prices of low quality were at Rs2800 while the fine type was available at Rs4600, they said. In Sindh, Binola prices per maund were at Rs1400-1800, in Punjab rates were at Rs1650-1800, they said and the rate of polyester fibre was at Rs173 per kg, they added.
According to the market sources, trading activity improved on panic buying of fine quality lint causing by rising uncertainties over the spread of coronavirus. The main issue is limited stock of quality lint and increase in demand, helped the rates to sustain present levels.
On the other hand, the ginners in the local market are increasing asking prices and the spinners unwillingly will have to purchase quality cotton on prices of ginners’ choice, other experts said. Cotton analyst, Naseem Usman said that under the circumstances, the mills and spinners were under pressure, so that trying to lay hands over the limited local stuff. (Source: Business Recorder)