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Strong demand pushes up cotton prices in Pakistan
Mar '17
Strong demand for quality lint, rising prices in global markets and short supply of quality cotton led to a rise in cotton price in Pakistani markets on Thursday, local media reported. The Karachi Cotton Asso­ciation raised its spot rates by Rs 50 to Rs 6,700 per maund (37.3242 kg) and Rs 7,180 for 40 kg. Trading was normal at the Karachi Cotton Exchange.

Transactions on the Karachi Cotton Exchange included more than 4,300 bales in the range of Rs 6,800 to Rs 7,000 per maund from Bahawalnagar, Khanpur and Sadiqabad, the reports said.

Some millers went on a buying spree due to limited stocks with ginners and little hope of more seed cotton (phutti) arrivals. Some leading spinners purchased in bulk, while led to increase in spot rates. The Ex-Karachi rates also increased to Rs 6,835 per maund and Rs 7,325 for 40 kg.

New York cotton closed 1.5 cents higher. Prices also increased in Indian and Chinese cotton markets.

Meanwhile, cotton sowing has begun in lower Sindh, while it is yet to start in Punjab province where sowing normally takes place in mid-April. (RKS)

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