In line with the global track, the prices showed further weakness on the cotton market on Wednesday, dealers said. The official spot rate was lower by Rs 100 to Rs 6650. Prices of seed cotton in Sindh per 40 kg low type fell sharply to Rs 1800 and the best type was unchanged at Rs 2800, while in Punjab rates also came down as inferior variety was lower by Rs 100 to Rs 2600 and superior variety was inert at Rs 3000, dealers said.
In the ready session, around 32,000 bales of cotton changed hands between at Rs 6000-6900, they said. Some analysts said that rising trend in Phutti arrivals and better production of cotton the world over caused continued fall in demand, and also bringing prices rates down with the passage of time. Cotton analyst, Naseem Usman said the demand was not picking up in the global market so it is a leading factor behind the fall under these circumstances, and ginners were not satisfied due to high cost of production. According to the Reuters, Cotton futures hit nine-month lows on Tuesday, falling for an eighth straight session in the longest rout since May, as harvest pressures weighed down prices and triggered further selling.
The most-active December cotton contract on ICE Futures US edged down 0.31 cent, or nearly 0.4 percent, to settle at 78.34 cents a lb. Prices dipped as low as 78.29 cents, the weakest level for the spot contract since January. The contract was on track for a monthly loss of nine percent, it’s biggest since September 2012.
The following deals were reported as; some 2,000 bales of cotton from Khair Pur (BCI) at Rs 6725-6750, 1,000 bales from Upper Sindh (BCI) at Rs 6750, 400 bales from Moro at Rs 6675, 400 bales from Sakrand at Rs 6625, 200 bales from Sadiquabad at Rs 6000, 1,000 bales from Vehari at Rs 6650-6725, 1,200 bales from Hasil Pur at Rs 6600-6675, 2,000 bales from Khanewal at Rs 6650-6800, 1,600 bales from Burewala at Rs 6650-6800, 400 bales from Pir Mahal at Rs 6650, 1,000 bales from Toba Tek Singh at Rs 6650, 400 bales from Chistian at Rs 6680, 400 bales from Khichi Wali at Rs 6700, 1,400 Chichawatni at Rs 6700-6760, 400 bales from Multan at Rs 6700, 400 bales from Daran Wala at Rs 6700, 400 bales from Kassowal at Rs 6725, 400 bales from Dunya Pur at Rs 6725, 3,000 bales from Bahawal Nagar at Rs 6700-6775, 400 bales from Shadan Lund at Rs 6740, 1,600 bales from Rahim Yar Khan at Rs 6750-6800, 1,200 bales from Ahmed Pur at Rs 6750, 1,200 bales from Tonsa Sharif at Rs 6750, 800 bales from Faqir Wali at Rs 6750, 800 bales from Arif Wala at Rs 6775, 2,000 bales from Haroonabad at Rs 6775-6800, 1,000 bales from Rajan Pur at Rs 6800, 1,000 bales from Layyah at Rs 6800-6825, 400 bales from Shujabad 6800, 400 bales from Mian Chano at Rs 6800 and 2,400 bales from Mian Wali at Rs 6900, they added.