Cotton steady

Karachi

Slow trading activity was witnessed at Karachi Cotton Exchange on Wednesday as spot rate remained steady.  

Spot rate was unchanged at Rs6,700/maund (37.324 kg) and Rs7,180 /40-kg. Ex-Karachi rates also stood firm at Rs6,835/maund and Rs7,325/40-kg after an addition of Rs135 and Rs145 as upcountry expenses, respectively.

One analyst said slow activity continued in the market, which would prevail for a few months, as buyer was not ready to purchase lint at higher rates. Prices of yarn and fabric are down in the international market.

The analyst said the industry is facing financial crisis. 

“Industry people are protesting for billions of unpaid refunds lying with the government,” he added. “Shortage of such funds created liquidity crunch.”

Karachi Cotton Exchange recorded only one transaction of 2,000 bales from Khanpur at Rs7,000/maund.