Moderate cotton buying

Karachi

Trade turnover of cotton remained moderate at 8,300 bales at the local markets, as textile mill-owners continued to make slow buyingdue to low availability of the commodity, a dealer said on Friday.

"Textile mill-owners are not in panic to buy the commodity despite of the fact that the size of the crop is short this year," said a broker at Karachi Cotton Exchange.

According to latest assessment of the government, the country may not produce more than 10.8 million bales (of 170 kilogram) this year which is short by 30 percent from initial set target at 15.4 million bales.

The broker said the strengthening dollar and weak rupee have made imports cheaper and that's why they are not making panic buying, he said. The Karachi Cotton Association (KCA) reported traders bought 8,300 bales at Rs5,150-5,600/maund as compared to 7,300 bales bought at Rs5,120-5,600/maund a day ago.  The KCA kept its official spot rate unchanged at Rs5,250/maund.