Cotton prices drifted lower on the cotton market on Friday in the process of moderate trading activity, dealers said. The official spot rate was down by Rs 100 to Rs 8550, they added. In ready session, over 16,000 bales of cotton changed hands between Rs 7800 and Rs 8800, they said. Rates of seed cotton per 40kg in Sindh were at Rs 3600-3900 and in the Punjab prices were at Rs 3600-4100, they said. In Balochistan, cotton prices showed rising trend at Rs 8300-8500, seed cotton prices were also higher at Rs 4000-4400, they said.

In Sindh, Binola prices per maund were at Rs 1400-1550 and in Punjab rates were at Rs 1550-1650, they said and adding that polyester fibre per kg rates picked up more Rs 5 to Rs 190. Market sources said that as compare to other sessions, mills showed little interest in fresh buying of cotton due to higher rates.

World's major economies are facing recession like situation, this is the main factor behind the falling trend in the market, they said. Cotton analyst Naseem Usman said that ginners may bring down prices to attract mills and spinners in the coming days. Adds Reuters: Cotton prices inched down on Thursday as top consumer China canceled orders of US fiber and on forecast for a bumper harvest, although losses were limited by data showing higher US export sales.

Cotton contracts for December settled down 0.17 cent, or 0.28%, at 60.33 cents per lb. It traded within a range of 60.28 and 61.13 cents a lb. Total futures market volume fell by 5,293 to 18,676 lots. Data showed total open interest gained 199 to 230,791 contracts in the previous session. The following deals reported: 800 bales of cotton from Shahdadpur at Rs 7850/7950, 1200 bales from Tando Adam at Rs 7800/7950, 200 bales from Sinjoro at Rs 8050, 600 bales from Nawabshah at Rs 8500, 800 bales from Moro at Rs 8400/8600, 2600 bales from Khairpur at Rs 8650/8700, 600 bales from Rohri at Rs 8650, 1000 bales from Saleh Pat at Rs 8650/8700, 2800 bales from Haroonabad at Rs 8750/8800, 1200 bales from Bahawal Nagar at Rs 8700/8750, 400 bales from Fort Abbas at Rs 8700/8750, 200 bales from Khanewal at Rs 8750, 600 bales from Lodhran at Rs 8750, 200 bales from Maroot at Rs 8750 400 bales from Chichawatni at Rs 8700, 600 bales from Chistian at Rs 8700, 200 bales from Daranwala at Rs 8700, 200 bales from Gilawal at Rs 8700, 400 bales from Hasilpur at Rs 8700, 200 bales from Kot Sabzal at Rs 8700, 200 bales from Shujabad at Rs 8700, 200 bales from Burewala at Rs 8650, 200 bales from Layyah at Rs 8650, 200 bales from Vehari at Rs 8650 and 400 bales from Alipur at Rs 8600, 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"

                    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 19-09-2019

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37.324 kg         8,550       160        8,710         8,810        - 100/-

Equivalent

40 kgs            9,163       171        9,334         9,441        - 107/-

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Copyright Business Recorder, 2019