Pakistan-Strong Demand for Cotton Keeps Prices Firm
Strong demand for quality cotton kept prices firm on Saturday.
Interestingly, higher arrival of phutti (seed cotton) did not dent cotton prices.
Due to peak season for the textile industry, there was rush of buyers who were keen to replenish their cotton inventories. It was encouraging that the flow of quality cotton also remained high. Phutti arrival is at its peak since picking in almost all cotton growing districts of Punjab is in full swing.
However, phutti arrival from lower Sindh, where cotton sowing took place earlier, is nearing an end and a number of ginning factories have also closed down.
Despite a glut, the prices of phutti remained on the higher side — indicating that off-take of cotton was equally high.
According to estimates, world cotton production would be much higher than last year.
On Saturday, world leading cotton markets closed firm, with New York cotton recovering its recent losses. The Indian cotton market also stood steady. The Chinese market remained closed.
Disclaimer: Echemi reserves the right of final explanation and revision for all the information.