Cotton buying declined by 45 percent to 7,500 bales (155 kilograms each) at the local markets ahead of the likely release of the next fortnightly production report on Thursday, a dealer said on Wednesday.
“Textile mill-owners would make new buying decisions keeping in view the production data,” a broker at the Karachi Cotton Exchange said.
He said that the production would remain low. However, low production data would not make the buyers panic due to availability of similar or better quality cotton at world markets at a price which is similar or lower than of the locally grown cotton.
In its last fortnightly report, the Pakistan Cotton Ginners Association has reported production at 8.01 million bales in the fiscal year (July-June) to date, which were 23.17 percent lower than 10.43 million bales in the same period last year.