KARACHI: Cotton trading was slow on Monday as sellers preferred to hold back their limited stocks anticipating higher prices in the coming days.
Dwindling cotton stocks held by ginners and a long delay in the arrival of next crop were a cause a concern for spinners who have yet to meet their seasonal demand, brokers said.
Reports coming from Sindh cotton fields indicate that lesser area has so far been came under cotton cultivation compared to the same period of last season.
In Punjab, growers are more inclined towards cultivating sugarcane and maize crops which are hassle-free and easy to cultivate and do not need pesticides or scouting against pest attacks. Huge losses in the outgoing season have forced growers to shift to other crops, brokers said.
According to market estimates around 200,000 bales have been left with ginners, who seem to be in no hurry to dispose them of at this juncture.
The Karachi Cotton Association (KCA) spot rates remained firm at weekend level. Major deals on the ready counter were: 1,500 bales from Shahdadpur (at Rs4,575 to Rs4,700 per maund) and 600 bales from Layyah (Rs5,650).