AZHAR ALI KHAN
KARACHI: Cotton prices finally reached the much-awaited landmark of Rs 10,000 per maund on early Sunday trade, ginners said.
The prime-quality cotton prices further increased significantly by Rs 500 per maund and finally stayed at Rs 10,000 per maund level.
Cotton prices have been appreciated by Rs 2,000 per maund in just six days - raising eyebrows of the textile and allied sector besides sending shockwaves to the export-oriented units that are already revising down their expenses and started massive lay-off.
"Actually, the Indian traders have recently refused to dispatch one million cotton bales to Pakistan after their authorities did not signalled them 'go ahead'," said Naseem Usman, Chairman Karachi Cotton Brokers Forum.
The international cotton market is running short of this commodity (cotton) and the Pakistan has already sold its major chunk to different countries at much lower rates.
"We have sold some 0.8 million to 1 million high-quality cotton bales between 65-95 cents per pound, and now Pakistani importers have received he quotations at 150 cents per pound," said a Karachi-based cotton importer.
Pakistan has to procure at least 2.2 million bales to avert prevailing cotton crisis and facilitate export-oriented textile industry. Amid this international and domestic price hike fiesta, our agro-based economy (Pakistan) is to sustain a severe shock of over Rs 125 billion in the coming days.
