Seed cotton (Phutti) equivalent to over 21,97,801 bales of cotton have reached ginneries across Pakistan as of September 15, showing a decrease of 20.10 percent compared to corresponding period last year when ginneries received 27,50,563 bales, as per figures issued of cotton arrival in the second fortnightly report of Pakistan Cotton Ginners Association (PCGA) up to September 15, 2015.
Thin business activity was seen as mills and spinners were disappointed owing to tight supply of best quality lint which boosted the rates as the result they were unable to make deals on the cotton market on Monday, dealers said.
The official spot rate was unchanged at Rs 5000, dealers said. In the ready session, over 4,000 bales of cotton changed hands between Rs 4625 and Rs 5275, they said. The prices of seed cotton in Sindh were at Rs 1900 and Rs 2350 and in Punjab rates were at Rs 2000 and Rs 2650, they said.
Trading Corporation of Pakistan (TCP) has been asked to review its purchasing plan by Pakistan Cotton Ginners Association (PCGA) and Ginners group as more than two million bales of cotton are lying unsold in their stock.
PCGA has called upon the government to act upon its plan to purchase one million bales of cotton through Trading Corporation of Pakistan (TCP) and issue clear cut orders for restoration of contracts and re-sampling of the cotton lying in different ginneries.
Pakistan ginners by end April 2104 were supplied around 4,76,109 of additional cotton bales, a rise of 3.69 percent over the last year from 1,29,15,585 to 1,33,91,694 cotton bales, according to fortnightly report of the Pakistan Cotton Ginners Association (PCGA).
Of the total 1,33,91,694 cotton bales received by ginners, nearly 1,25,84,496 cotton bales were sold to textile units and exporters bought 3,99,382 bales. A modest cotton trading was seen in the market as exporters showed interest in buying to meet their needs.
World's third largest cotton grower – Pakistan, has produced more cotton than last year. Ginneries have reportedly received 9.518 million bales of cotton up to 15 November 2013, an increase of one million bales, or 11.73 per cent, over the corresponding period last year when 8.519 million bales were produced. The impressive increase in arrivals indicate that the crop size will be even larger than the government estimates of 12.9 million bales and may even exceed 14 million bales.
