Slowdown in demand kept cotton prices under pressure in Pakistan market

Cotton prices in the local Pakistan market continued to remain under pressure on Monday because of slowdown in demand for yarn in line with the trend in world market.

Most of the cotton growing countries are expected to harvest bumper cotton crop this season are also keeping prices under pressure.

Besides, slow demand for cotton yarn in the domestic and world markets is also affecting rates.

The prices after recording steep drop during early hours of the trading session saw slight recovery in the late evening trading. The phutti (seed cotton) prices also managed to regain part of the recent losses.

Phutti of Punjab and Sindh varieties recovered between Rs200 and Rs250 per 40kg to Rs2,650 to Rs2,700 per kg. Lint prices also managed to partly regain earlier losses.

Trading on ready counter was slow, only needy spinners were active in restocking their near-future demand.

The following transactions were reported to have exchange hands on ready counter: 1,600 bales Shahdadpur at Rs5,250 to Rs5,300; 1,400 bales Sanghar at Rs5,250 to Rs5,300; 1,400 bales Mirpurkhas at Rs5,250 to Rs5,300; and 1,000 bales Tando Adam at Rs5,250 to Rs5,300.

The Karachi Cotton Association (KCA) spot rates lowered further by Rs150 per maund to Rs5,250.

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