Cotton analyst, Naseem Usman said that the ginners and spinners were busy in making new deals to replenish their stock. So, other experts said that persistent demand could be a factor for sudden buying interest among mills and spinners. Rates may go up if the government takes more effective measures to improve textile sector's performance, they said.
Reports suggesting that on a proposal by the Finance Division, the ECC approved the restoration of import duty and sales tax on import of cotton with effect from 15th July 2017. The decision has been made to boost the confidence of domestic cotton growers during the upcoming sowing season. According to the China's cotton industry website cncotton.com: China sold 24,800 tonnes of cotton at auction of state reserves, Sale represents 82.86 percent of total cotton available at the auction,
Cotton sold at average price of 15,162 yuan ($2,199.05) per tonne. Adds Reuters: ICE cotton futures maintained rising trend on Monday on strong demand. The following deals reported: some 500 bales of cotton from Chichawatni sold at Rs 6600, 400 bales of cotton from Noorpur Noranga sold at Rs 6940 and 1393 bales from Bahawalpur finalised at Rs 7000, they said.
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The KCA Official Spot Rate for Local Dealings in Pakistan Rupees
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FOR BASE GRADE 3 STAPLE LENGTH 1-1/16"
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MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
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Rate Ex-Gin Upcountry Spot Rate Spot Rate Difference
For Price Ex-Karachi Ex. KHI. As Ex-Karachi
on 15.05.2017
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37.324 kg 6,700 135 6,835 6,835 Nil
Equivalent
40 kgs 7,180 145 7,325 7,325 Nil
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Copyright Business Recorder, 2017