Trade turnover of cotton and its prices remained stable at the local markets, as spinning mill-owners continued to buy the commodity as per their requirement, a dealer said on Monday.
Traders exchanged a total of 13,800 bales in the country at Rs6,950 to Rs7,100 per maund as compared to 13,400 bales traded at Rs6,900 to Rs7,100 per maund on Saturday, the Karachi Cotton Association (KCA) reported.
Taqi Abbas, a broker at the Karachi Cotton Exchange, said that the arrival of phutti (cottonseed) has increased. The situation has resulted in a decline in cotton price below Rs7,000 per maund at the local market.
“The likely persistent increase in the arrival of phutti is expected to bring price of cotton down to Rs6,700 to Rs6,800 per maund in the short- to medium-term,” he said.
Meanwhile, the KCA kept its cotton spot (average) rate unchanged for the second consecutive working day at Rs6,900 per maund.
He said that around 500 of the total 800 to 850 cotton yarn manufacturing factories across the country have so far resumed operations. “All factories will come online by the middle of October,” he added.