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rakeshmalik

Well-Known Member
Monthly Investigation for Cotton Production in July: 7.49 MN tons production
08/19/08

COTTONCHINA According to investigation of Cottonchina.org in July, national cotton plantation area will be 85.65 million mu in 2008, decreasing 1.78 million mu the same figure in 2007 based on our estimate. Total production will be 7.49 million tons, nearly the same as 7.5 million tons which was guessed by Cottonchina.org.

In fact, dry conditions in Xinjiang region attracted attention in July. However, according to the investigation of Cottonchina.org, although the dry condition was severe this year in Xinjiang, unfavorable influence was not so serious as people expected. The driest place in Xinjiang planted few cotton, also the quantity of early boll openning was more than before. High temperature in whole July help crop development, but also creat some good living condition for the pest. At the end of July, part of Xinjiang suffered storm and hail.

In Shandong, Henan and Hebei provinces, the temperature was higher than previous years, and reasonable rains help crop development. However, at the end of July, Typhoon Kalmaegi and Fung Wong brought widespread and continuous storms for Anhui, Jiangsu, Hubei, Hunan and Jiangxi, making cotton suffer a lot. In some regions, cotton buds decreased remarkably. Generally speaking, cotton development was good in whole cotton regions, weather will be some decisive factor in August for cotton prodcution. Of course, raining in August and September will be the focus.
 

rakeshmalik

Well-Known Member
Brazil seeks to retaliate against US over cotton

BRASILIA (August 24 2008): Brazil is resuming action at the World Trade Organisation (WTO) to take retaliatory trade measures against the United States over subsidies it pays its cotton farmers, the foreign minister said late Friday. "We are sending a petition to Geneva (WTO headquarters) to request the resumption of the arbitration process which had been interrupted in relation to cotton," Celso Amorim told reporters.

The WTO cleared the way in June for Brazil to seek up to $4 billion in trade sanctions on US imports but the Brazilian government had not pursued applying the sanctions in the hope of hammering out a deal through the DOHA round of trade talks, which have since collapsed. Amorim said the country would also look more closely at possible action over US tariffs on imports of the Latin American nation's sugar-cane derived ethanol biofuel.

"We also have to examine the ethanol question. A consensus is mounting that we should go down this road (a trade dispute) but we're still working with lawyers and checking the law," he said. Brazil has already mounted a joint challenge together with Canada over the United States' agriculture subsidies.
 

rakeshmalik

Well-Known Member
Governmental reserve for Xinjiang cotton
08/21/08

COTTONCHINA The first round of governmental cotton reserve for 150,000 tonnes 2007 season's Xinjiang cotton will start from August 21 to August 26 (including the weekend) by the China National Cotton Reserve Corperation(CNCRC) through the China National Cotton Exchange (CNCE) e-business platform. The purpose is to solve the problem of the balance Xinjiang cotton sale. The basis price for the reserve is 13,400 yuan per tonne for the unshipped (still in Xinjiang) and 13,600 for the shipped (had been transported to the inland) cotton. The price is for the up-limited on the quotation conditioned weight.
The cotton should have been inspected by HVI from Grade 1 to Grade 4, length is at least at 28mm, the Micronaire can be in the range of A, B, C or C2, the rate of moisture regain should be within 8%, and the foreign fiber should be controlled at least under the level L.
The standard quality is Grade 3 and length 28mm, the ratio should be at +3% or -3% for the grade superior or inferior and +1% or -1% for the length. The quality need not to be re-inspected, but the quantity will be weighted again by the China Fiber Inspection Bureau. The settlement is in the basis of net weight, and payment will give 400 yuan per tonne more after the re-weighted result of net weight to convert to the conditioned weight according to the standard on bar code of the original HVI inspection. The settlement is in the basis of net weight, and payment will give 400 yuan per tonne more under the basis of conditioned weight quotation. The final payment will be the conditioned weight quotation to multiply the quality ratio and add 400 yuan per tonne, the result then multiply the re-weight net weight.
Only the company has registered in Xinjiang and owned the qualification to trade in CNCE can attend the reserve. Those who is not trader in CNCE, he can supply to be a trader or require other CNCE trader to be the agent.
The seller can get 80% payment after the cotton is allowed to stock in the warehouse of CNCRC, and the balance will be paid after the re-weight and the seller supplies the value added tax invoice.
 

rakeshmalik

Well-Known Member
Seed cotton procurement starts in Shanxi
08/21/08

COTTONCHINA The first bang for seed cotton procurement had happened in Yuncheng, Shanxi province. The price is steady for the scare buying from the small scale ginning factories. The first round price of procument was 5 yuan per kilo, now it moved up to 5.3 yuan for the moisture rate of about 20%, and 5.4 yuan for the rate at around 17%. Most of the ginners still wait for the better quality cotton to enter the market. It is expected the moisture rate around 15% cotton could be seen.
The lint settle at around 11,900 yuan per tonne, moisture rate is around 12% or above 13%. The purchase volume is slim, and the buyer is mainly from Shandong.
Every year the seed cotton in Shanxi would enter the market first.
It was reported that in small scale districts of Shaanxi, Xinjiang and Hubei had started to gather new cotton. But the ginners was inactive for the procument.
 

rakeshmalik

Well-Known Member
Higher dollar value provides impetus to cotton trade, lint, spot rate almost stay put

KARACHI (August 25 2008): All round easing in business and trading, buying on cotton market, too, has surged. The dollar value is helping, falling out is friendly and export orders are in hand. The spot rate was initially unchanged but phutti and cotton prices registered gradual decline. The spot rate failed to hold on and was reduced by Rs 125 on Wednesday but on Saturday it was again raised by Rs 100 to Rs4125.

WORLD SCENARIO:

Cotton futures fluctuated both ways on the NYCE as trade and investors indulged in buying while small investors indulged in selling to escape losses during the week.

On Monday December contract managed a gain of 0.29 cent to 67.37 cents a pound. The march was also higher by 0.25 cent to 72.59 cents a pound. On Tuesday sales by small stakeholders led to softening of the futures. The market is in grip of fear that futures were in danger to slipping below 11-month low hit last week (August 11-16). The analysts however felt cotton prices with strong fundamental should work higher in the long run. They presume coming years ending stock will fall sharply-from 53.29 million bales to 50.98 million bales.

On Wednesday futures surge was marked on the NYCE as they were driven up late during trading when a dive below key support to lows dating back a year sparked new buying interest. The December contract rose 0.91 cent to 68.10 cents a pound.

On Thursday futures fluctuated with big margin, backed by other factors. However, oil prices did not touch with certain extent of impact. Against Thursday cotton prices in New York looked backward, owing to most grain fluctuating lower like corn, sugar wheat etc such impact on commodities are witnessed when dollar surges for the last few days, it is rising, most people believe owing to lowering of oil prices.

However key December contract on Friday shed 21 cents to 69.63 cents a pound. However, market sources are hopeful that prices would soon consolidate, and, under certain circumstances even gather value.

LOCAL TRADING:

The oil and consequently slide in dollar rate has been helping local cotton prices and consumers who pounced on the market to lift nearly 13000 bales under pressure of import orders. The spot rate was unchanged while phutti and ready cotton prices softened. Besides oil and dollar slide in local markets, expectations that cotton production may register rise and seed cotton inflow into market will surge, cotton prices are also likely to come down.

The prices as a whole are keeping within consumers exports parity. With the ease in political tension nation as a whole is some what relieved. On the government level, considerably better opportunities seem to heave been opening up. The orders in hand for textile exports for X'mas days have brightened. The coalition is upset to some extent but authorities should be considering to concentrate on business and exports.

On Wednesday buying support scales were up as KCA scaled down spot rate by Rs 125 to Rs 4075. The phutti prices came down in Sindh to Rs 1825 and Rs 1850. The same rate Rs 50 was also reduced in Punjab that placed phutti rates at Rs 1700 and Rs 1900. The ginners, whether they like or not, are under pressure to reduce lint prices owing to immanent rush of phutti supplies soon. The market was however closely watching and praying return of normalcy in the country so that exports are geared up.

On Thursday expectations that cotton production was likely to be somewhere near lumber and phutti supplies would pace up, spot rate was again brought down by Rs 25 to Rs 4025. Buying support was seen to rising level in price range of Rs 4000/ Rs 4050. Rising dollar value is encouraging textile manufacturers and exporters to prepare for higher sales aboard.

On Friday rates were seen building and buyers could not keep passion in check taking for granted expedition phutti supplies to hit ginners courage to continue lower. But slight rise in ready was marked, the buying size continued to be high at around 12,000 bales. In Sindh phutti stayed put but in Punjab rose to be quoted at Rs 1800/2000. The cotton growers are learnt to have been taking steps to keep pest attacks at the minimum.

On Saturday upward trend continued on the cotton market. The official spot rate was increased by Rs 100 to Rs 4125 in a single day rally. In the ready business the prices of phutti came down modestly at Rs 1875-1925 in Sindh while in the Punjab rates were higher at Rs 1900-2025. In the absence of political stability, businessmen are confused before finalising any future deal. About 8000 bales changed hands within the close price range of Rs 4150-4200.

UPGRADATION FUND:

Saving money for bad time comes to mind of those who wish to stay tougher against lurking weaknesses. Besides, this there were resources enough to save for rainy days. In this country saving rate is said to be lowest in the world, or at least, than the regional countries.

One thing however is observed that vote hungry rulers remain under pressure to meet demands of businesses and exporters considering sale proceeds will fill the exchequer sooner or later. But several unethical deeds deter coffers to ever been respectably brim. The above for the circles who have been observing economy's plight for the last six decades commenting on demand by textile millers to set up upgradation fund may not create appeal among officials who keep nagging about collections of various types. They also had in mind as to why textile millers begin, may be in an humble way and then look elsewhere for help. They also asked weather it is late.

They thought the fund should have by now been in operation as conditions do fluctuate on local and international grounds. So a small strike should not dis-balance things like exports.

Unfortunately, cotton the gift of God has not been properly treated in Pakistan. There is hardly any human effort to beautify and standardise products meant for local and exports purposes. Cotton, fine or otherwise untrained skill give some shape which naturally compete with regional countries which has set up wherewithal to attract importers who always are keen how best to supply textile products to sell like hot cakes. Among basic thing a few are textile machinery, dyes and chemicals made locally. The nagging that is always heard here along high cost of doing business, while others rob our established markets, why SBP has asked banks to remit over due export proceeds within 15 days?

OVERDUE EXPORT PROCEEDS:

The government machinery looking after its interest was expected to be watchful of development around the world to keep working in business and exports upright. The country has been passing, it will not be proper to say today, through bad days as it has always been so after elections. Those who have lived to see this country a prosperous country have always found void of things that inject satisfaction.

The other day, the SBP has asked banks to remit overdue export proceeds, which may be in overall context and not with the latest, development. A report on August 17, 2008 headlined delays in ships arrival hurting exports and hence proceeds remittance to delay. The background of the fact is that shipping lines calling at the Karachi and Port Qasim ports have informed exports that ships arrival schedule has been disturbed owing to heavy congestion at the last port of call, in this case congestion at Jebel Ali Port and Salah Port. As a result small vessels carry goods to Pakistan.

This unnecessary bother could be tackled if in 60 years ports in Pakistan were made large enough to handle large vessels. It is not clear why Gwadar Port which can handle large vessels is not being used or the other ports capacity increased. Look around and disappointments abound. In 10 years democracy has been talked for whose benefit and developments have been ignored-simply ignored. The top sector of the country-textile sector has been left all through decades to spend on textile making machinery, dyes and chemicals, the result is drain of billions of dollars on their imports. Democracy has come when self sufficiency will come to this land, generations who will line, see!

SALVAGE LOSS IF POSSIBLE:

New moves are on, if implemented honestly the economy will be different what it has been in the last over one decade. Cement and sugar already being checked, and will soon offer relief to the consumers. The textile sector seemingly is in trouble, as according to apparel exporters the government has not yet issued SRO regarding Research and development (R&D) support despite approach made a fortnight back to this effect.

The exporters in an interview expressed that the silence has discouraged the foreign buyers. They fear the importers may have been contemplating to take their orders back as according to exporters buyers were hoping prices at competitive terms provided government R&D support was forth coming. The exporters have been seemingly had been assured an SRO was issued providing R&D support but the wait has been too long to hold orders valid.

The apparel sector fetches highest price per unit. The apparel exporters apparently anxious as they had been preparing for the exports expecting R&D support, which creates edge against the immediate rivals like China, India, and Bangladesh. They regretted that politics apparently seems to have taking toll owing to probable postponement of the meeting between ECC and Ministry of finance to decide the matter. Even exporters have quoted the dates August 12, and a postponement made them apprehensive that apparel sector was head on faced with problems in dealing with their certain buyers who had placed orders and in the absence of R&D support.

The textile sector has continuously on the decline and in the absence of any incentive from the government for want of resources and political will the economy and country will further get hurt. The exporters, however, should try to be as free of government support as possible in the absence of any export sector to stand in textile sector strong support.

WTO JULY MEETING FOUNDERED ON CALL TO HELP FARMERS:

Of course, some were pessimistic about the much flower-showered July last meeting of the WTO in Geneva, but some had used words like "now or never". They were not mere some, but were top participants of the 153 members of WTO, who unfortunately were not believers in polluted philanthropy.

Since 2001, so called Doha round, has consumed precious time and money on picking words from dictionary which they delivered during discussions in the hope that thus they could mislead the poor. The last Geneva meeting proved utterly futile despite appeals to bring the streaming debate to a logical end. And now the World Bank chief who actually has added to his one or two feeble voices to made another louder bid said in a statement the other day that the July meeting, which foundered on a proposal for a safeguard to help poor countries withstand a flood of imports, had left a good package of results on the table "And that it would be a mistake for the world economy and harmful for developing countries not to retrieve it."

The world rich never had kind feeling ever through centuries for farmers (poor), the sudden outburst of human feelings drop dear hint that WTO was not planned to offer relief to poor but for whatever was left with the poor. The logic is quite simple. Why an organisation buttered on two sides of the bread was divided into three major divisions - the LSCS, the emerging developing countries and rich or developed countries? May be tons of milk and honey quoted words are minted as long as reservation to keep certain percentage of right to release subsidy money to enable their to excell farmers of poor countries, and monopolising technologies won't make global two-way trade free!

MINERAL OIL IMPORT DUTY WAIVED:

The taxes and duty ultimately reach on door steps of every Pakistani who pays or otherwise in the shape of roads, transports and cheaper stuffs of daily life. Unless government is honestly paid development remains in as bad shape.

Most of the pesticides required for enhancing agricultural products are imported. The imports are paid in forex that is earned somehow. The reports are always rife during rainy days that cotton, wheat or sugarcane plants have been attacked and then farmers go to every shop where pesticides they acquire is available. Quite often hoarders return customers saying the required pesticides was not available. Or, on persuasion agree to sell at much higher rate.

Last cotton season (2007-2008) the mealy-bug damaged considerable cotton plant, necessitating twice to reduce the target size to just 10.1 million bales and 40 lakh bales were imported at rupees one billion. The report is clear that there are dealers registered with the plant protection deptt as importers, formulator and manufacturers of pesticide. But all they needed was to eliminate duty in this case Rs 5. The govt has done so in good faith, hoping mineral oil will be instrumental in improving the efficacy of pesticides.
 

rakeshmalik

Well-Known Member
Cotton lint trades up in west India
23 Aug 2008 2:54 pm

Mumbai - Cotton lint traded higher at major markets across western India Saturday following the positive news from the government.



The Central government has increased the minimum support price for medium staple length cotton by Rs 700 to Rs 2,500 per quintal, while the same for long staple has been increased by Rs 970 at Rs 3,000 for the October-September cotton year, a government official said.



At Kadi market in Gujarat, cotton lint S-6 A-grade was quoted at Rs 28,000-Rs 28,300/candy while average-grade traded at Rs 27,500-Rs 28,000/candy.



In Maharashtra, the 28MM cotton lint traded at Rs 27,600-Rs 27,900/candy; 29MM cotton lint traded at Rs 28,000-Rs 28,400/candy; while 30+MM cotton lint traded at Rs 28,500-Rs 28,700/candy; and 31+MM cotton lint traded at Rs 28,800-Rs 29,100/candy; and DCH at Rs 31,000-Rs 32,000/candy.



At Sendhwa market in Madhya Pradesh, the 28+MM cotton lint traded at Rs 27,600-Rs 27,900/candy; 29MM cotton lint traded at Rs 28,000-Rs 28,400/candy; 30+MM cotton lint traded at Rs 28,500-Rs 28,700/candy; and 31+MM cotton lint at Rs 28,800-Rs 29,100/candy; and DCH variety traded at Rs 31,000-Rs 32,000/candy.

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Cotton lint tad up in north India
23 Aug 2008 2:45 pm

Abohar – Cotton lint prices were quoted marginally up despite lack of fresh deals from millers at major markets across north India Saturday.



Meanwhile, the Central government has increased the minimum support price for medium staple length cotton by Rs 700 to Rs 2,500 per quintal, while the same for long staple has been increased by Rs 970 at Rs 3,000 for the October-September cotton year, a government official said.

In Punjab, cotton lint traded at Rs 2,810-Rs 2,825/maund at Budhaldha, Taapa and Rampura; Rs 2,800-Rs 2,820/maund at Malot and Bathinda; Rs 2,790-Rs 2,810/maund at Abohar; and Rs 2,800/maund at Manasa.

Cotton lint traded at Rs 2,715-Rs 2,750/maund in Haryana and at Rs 2,700-Rs 2,725/maund in Rajasthan.



New crop October full delivery was quoted at Rs 2,575-Rs 2,635/maund in Punjab.
 

rakeshmalik

Well-Known Member
Increase in cotton MSP to hit textile sector further: CITI

New Delhi, Aug 24: Increase in Minimum Support Prices of cotton by up to Rs 970 per quintal would hit textile industry of the country which is already reeling under high interest rates and rising input cost, Confederation of Indian Textile Industry said.

The move will not only push the textile industry further down, but will also be counter productive even for farmers, CITI said in a release on Sunday.

Last week, the government decided to raise the support price of medium staple cotton by Rs 700 to Rs 2,500, while the same for long staple has been increased by Rs 970 to Rs 3,000 for the October-September cotton year.

CITI Chairman P D Patodia said rise in prices of raw materials, interest rates as well as input costs during the current year have already drained out the cost competitiveness of the country's textile value chain and the huge increases announced in the MSPs for cotton would aggravate the situation beyond redemption.

During the last financial year and the first quarter of this year, most textile companies have made losses and many others have made substantially lower profits compared to the earlier years. These MSPs have eroded whatever hope the industry had of reviving in the near future, he said.

There is going to be chaos both in the industry and farming sectors, unless government is able to take immediate remedial action to sustain cotton consumption by reducing the MSPs or by assisting the industry to absorb the extra cost, he added.
 

rakeshmalik

Well-Known Member
Firm trend in price observed on cotton market

KARACHI (August 26 2008): Firmness prevailed on the cotton market on Tuesday as prices maintained weekend levels during the good business, except in Karachi due to pro-longed goods transport strike, dealers said. The official spot rate maintained at weekend level at Rs 4125, they said. In the ready business the prices of phutti were almost unchanged at Rs 1875-1925 in Sindh, in the Punjab, the rates were also same at Rs 1900-2025, they said.

According to the market sources, the activity was good in the upcountry markets but business was almost interrupted locally due to goods transport' strike. Commenting on the firmness in the prices, some analysts said that little movement was expected in the rates due to good production for the current season.

THE FOLLOWING DEALS WERE REPORTED: 2000 bales of cotton from Shahdadpur sold at Rs 4075-4100, 1200 bales from Tando Adam at Rs 4100, 2000 bales from Sanghar at Rs 4075-4100, 400 bales from Sanjhoro at Rs 4100, 600 bales from Jhole 4075-4100, 1800 bales from Mirpurkhas-Sultanabad at Rs 4000-4075, 200 bales from Kotri at Rs 4075, 800 bales from Hyderabad at Rs 4075-4100, 800 bales from Samandari at Rs 4100, 800 bales from Bhawalnagar at Rs 4050, 400 bales from Arifwala at Rs 4075, 1000 bales from Chichawatni at Rs 4075, 400 bales from Mamu Kanjan at Rs 4050, 400 bales from Gojra at Rs 4075 and 800 bales from Burewala at Rs 4100, dealers said.

===========================================================
The KCA Official Spot Rate for Local Dealings in Pak Rupees
-----------------------------------------------------------
FOR BASE GRADE 3 STAPLE LENGTH 1-1/32"
MICRONAIRE VALUE BETWEEN 3.8 TO 4.9 NCL
===========================================================
Rate Ex-Gin Upcountry Spot Rate Ex-Karachi
for Price Sales Tax @ 15%
===========================================================
37.32 Kgs 4,125.00 50 4,225.00
Equivalent-------------------------------------------------
40 Kgs 4,421.00 50 4,521.00
===========================================================
 
Higher dollar value provides impetus to cotton trade, lint, spot rate almost stay put

KARACHI (August 25 2008): All round easing in business and trading, buying on cotton market, too, has surged. The dollar value is helping, falling out is friendly and export orders are in hand. The spot rate was initially unchanged but phutti and cotton prices registered gradual decline. The spot rate failed to hold on and was reduced by Rs 125 on Wednesday but on Saturday it was again raised by Rs 100 to Rs4125.

WORLD SCENARIO:

Cotton futures fluctuated both ways on the NYCE as trade and investors indulged in buying while small investors indulged in selling to escape losses during the week.
On Monday December contract managed a gain of 0.29 cent to 67.37 cents a pound. The march was also higher by 0.25 cent to 72.59 cents a pound. On Tuesday sales by small stakeholders led to softening of the futures. The market is in grip of fear that futures were in danger to slipping below 11-month low hit last week (August 11-16). The analysts however felt cotton prices with strong fundamental should work higher in the long run. They presume coming years ending stock will fall sharply-from 53.29 million bales to 50.98 million bales.

On Wednesday futures surge was marked on the NYCE as they were driven up late during trading when a dive below key support to lows dating back a year sparked new buying interest. The December contract rose 0.91 cent to 68.10 cents a pound.

On Thursday futures fluctuated with big margin, backed by other factors. However, oil prices did not touch with certain extent of impact. Against Thursday cotton prices in New York looked backward, owing to most grain fluctuating lower like corn, sugar wheat etc such impact on commodities are witnessed when dollar surges for the last few days, it is rising, most people believe owing to lowering of oil prices.

However key December contract on Friday shed 21 cents to 69.63 cents a pound. However, market sources are hopeful that prices would soon consolidate, and, under certain circumstances even gather value.

LOCAL TRADING:

The oil and consequently slide in dollar rate has been helping local cotton prices and consumers who pounced on the market to lift nearly 13000 bales under pressure of import orders. The spot rate was unchanged while phutti and ready cotton prices softened. Besides oil and dollar slide in local markets, expectations that cotton production may register rise and seed cotton inflow into market will surge, cotton prices are also likely to come down.

The prices as a whole are keeping within consumers exports parity. With the ease in political tension nation as a whole is some what relieved. On the government level, considerably better opportunities seem to heave been opening up. The orders in hand for textile exports for X'mas days have brightened. The coalition is upset to some extent but authorities should be considering to concentrate on business and exports.

On Wednesday buying support scales were up as KCA scaled down spot rate by Rs 125 to Rs 4075. The phutti prices came down in Sindh to Rs 1825 and Rs 1850. The same rate Rs 50 was also reduced in Punjab that placed phutti rates at Rs 1700 and Rs 1900. The ginners, whether they like or not, are under pressure to reduce lint prices owing to immanent rush of phutti supplies soon. The market was however closely watching and praying return of normalcy in the country so that exports are geared up.

On Thursday expectations that cotton production was likely to be somewhere near lumber and phutti supplies would pace up, spot rate was again brought down by Rs 25 to Rs 4025. Buying support was seen to rising level in price range of Rs 4000/ Rs 4050. Rising dollar value is encouraging textile manufacturers and exporters to prepare for higher sales aboard.

On Friday rates were seen building and buyers could not keep passion in check taking for granted expedition phutti supplies to hit ginners courage to continue lower. But slight rise in ready was marked, the buying size continued to be high at around 12,000 bales. In Sindh phutti stayed put but in Punjab rose to be quoted at Rs 1800/2000. The cotton growers are learnt to have been taking steps to keep pest attacks at the minimum.

On Saturday upward trend continued on the cotton market. The official spot rate was increased by Rs 100 to Rs 4125 in a single day rally. In the ready business the prices of phutti came down modestly at Rs 1875-1925 in Sindh while in the Punjab rates were higher at Rs 1900-2025. In the absence of political stability, businessmen are confused before finalising any future deal. About 8000 bales changed hands within the close price range of Rs 4150-4200.

UPGRADATION FUND:

Saving money for bad time comes to mind of those who wish to stay tougher against lurking weaknesses. Besides, this there were resources enough to save for rainy days. In this country saving rate is said to be lowest in the world, or at least, than the regional countries.

One thing however is observed that vote hungry rulers remain under pressure to meet demands of businesses and exporters considering sale proceeds will fill the exchequer sooner or later. But several unethical deeds deter coffers to ever been respectably brim. The above for the circles who have been observing economy's plight for the last six decades commenting on demand by textile millers to set up upgradation fund may not create appeal among officials who keep nagging about collections of various types. They also had in mind as to why textile millers begin, may be in an humble way and then look elsewhere for help. They also asked weather it is late.

They thought the fund should have by now been in operation as conditions do fluctuate on local and international grounds. So a small strike should not dis-balance things like exports.

Unfortunately, cotton the gift of God has not been properly treated in Pakistan. There is hardly any human effort to beautify and standardise products meant for local and exports purposes. Cotton, fine or otherwise untrained skill give some shape which naturally compete with regional countries which has set up wherewithal to attract importers who always are keen how best to supply textile products to sell like hot cakes. Among basic thing a few are textile machinery, dyes and chemicals made locally. The nagging that is always heard here along high cost of doing business, while others rob our established markets, why SBP has asked banks to remit over due export proceeds within 15 days?

OVERDUE EXPORT PROCEEDS:

The government machinery looking after its interest was expected to be watchful of development around the world to keep working in business and exports upright. The country has been passing, it will not be proper to say today, through bad days as it has always been so after elections. Those who have lived to see this country a prosperous country have always found void of things that inject satisfaction.

The other day, the SBP has asked banks to remit overdue export proceeds, which may be in overall context and not with the latest, development. A report on August 17, 2008 headlined delays in ships arrival hurting exports and hence proceeds remittance to delay. The background of the fact is that shipping lines calling at the Karachi and Port Qasim ports have informed exports that ships arrival schedule has been disturbed owing to heavy congestion at the last port of call, in this case congestion at Jebel Ali Port and Salah Port. As a result small vessels carry goods to Pakistan.

This unnecessary bother could be tackled if in 60 years ports in Pakistan were made large enough to handle large vessels. It is not clear why Gwadar Port which can handle large vessels is not being used or the other ports capacity increased. Look around and disappointments abound. In 10 years democracy has been talked for whose benefit and developments have been ignored-simply ignored. The top sector of the country-textile sector has been left all through decades to spend on textile making machinery, dyes and chemicals, the result is drain of billions of dollars on their imports. Democracy has come when self sufficiency will come to this land, generations who will line, see!

SALVAGE LOSS IF POSSIBLE:

New moves are on, if implemented honestly the economy will be different what it has been in the last over one decade. Cement and sugar already being checked, and will soon offer relief to the consumers. The textile sector seemingly is in trouble, as according to apparel exporters the government has not yet issued SRO regarding Research and development (R&D) support despite approach made a fortnight back to this effect.

The exporters in an interview expressed that the silence has discouraged the foreign buyers. They fear the importers may have been contemplating to take their orders back as according to exporters buyers were hoping prices at competitive terms provided government R&D support was forth coming. The exporters have been seemingly had been assured an SRO was issued providing R&D support but the wait has been too long to hold orders valid.

The apparel sector fetches highest price per unit. The apparel exporters apparently anxious as they had been preparing for the exports expecting R&D support, which creates edge against the immediate rivals like China, India, and Bangladesh. They regretted that politics apparently seems to have taking toll owing to probable postponement of the meeting between ECC and Ministry of finance to decide the matter. Even exporters have quoted the dates August 12, and a postponement made them apprehensive that apparel sector was head on faced with problems in dealing with their certain buyers who had placed orders and in the absence of R&D support.

The textile sector has continuously on the decline and in the absence of any incentive from the government for want of resources and political will the economy and country will further get hurt. The exporters, however, should try to be as free of government support as possible in the absence of any export sector to stand in textile sector strong support.

WTO JULY MEETING FOUNDERED ON CALL TO HELP FARMERS:

Of course, some were pessimistic about the much flower-showered July last meeting of the WTO in Geneva, but some had used words like "now or never". They were not mere some, but were top participants of the 153 members of WTO, who unfortunately were not believers in polluted philanthropy.

Since 2001, so called Doha round, has consumed precious time and money on picking words from dictionary which they delivered during discussions in the hope that thus they could mislead the poor. The last Geneva meeting proved utterly futile despite appeals to bring the streaming debate to a logical end. And now the World Bank chief who actually has added to his one or two feeble voices to made another louder bid said in a statement the other day that the July meeting, which foundered on a proposal for a safeguard to help poor countries withstand a flood of imports, had left a good package of results on the table "And that it would be a mistake for the world economy and harmful for developing countries not to retrieve it."

The world rich never had kind feeling ever through centuries for farmers (poor), the sudden outburst of human feelings drop dear hint that WTO was not planned to offer relief to poor but for whatever was left with the poor. The logic is quite simple. Why an organisation buttered on two sides of the bread was divided into three major divisions - the LSCS, the emerging developing countries and rich or developed countries? May be tons of milk and honey quoted words are minted as long as reservation to keep certain percentage of right to release subsidy money to enable their to excell farmers of poor countries, and monopolising technologies won't make global two-way trade free!

MINERAL OIL IMPORT DUTY WAIVED:

The taxes and duty ultimately reach on door steps of every Pakistani who pays or otherwise in the shape of roads, transports and cheaper stuffs of daily life. Unless government is honestly paid development remains in as bad shape.

Most of the pesticides required for enhancing agricultural products are imported. The imports are paid in forex that is earned somehow. The reports are always rife during rainy days that cotton, wheat or sugarcane plants have been attacked and then farmers go to every shop where pesticides they acquire is available. Quite often hoarders return customers saying the required pesticides was not available. Or, on persuasion agree to sell at much higher rate.

Last cotton season (2007-2008) the mealy-bug damaged considerable cotton plant, necessitating twice to reduce the target size to just 10.1 million bales and 40 lakh bales were imported at rupees one billion. The report is clear that there are dealers registered with the plant protection deptt as importers, formulator and manufacturers of pesticide. But all they needed was to eliminate duty in this case Rs 5. The govt has done so in good faith, hoping mineral oil will be instrumental in improving the efficacy of pesticides.
good cotton news.goodwork.thanks
 

rakeshmalik

Well-Known Member
Cotton new trades at Rs 27,000
26 Aug 2008 3:44 pm

Mumbai - Cotton prices continued to remain firmer amid poor unsold stock and limited offerings, but demand was slow due to weakness in yarn market, dealers said Tuesday. Meanwhile, new crop Gujarat Shanker-4 October delivery was traded at Rs 27,000/candy today, a dealer said, adding that the volume was for 3,000-4,000 bales.

Ready delivery [old crop] was quoted at Rs 28,500/cabndy. Earlier, about 7,000-8,000 bales were traded for new crop November delivery at Rs 25,000/candy.

Traders reported beginning of new arrivals in Dhanduka area. Old crop Gujarat Kalyan was quoted at spot at Rs 22,500-Rs 23,000/candy and for Maharashtra and Madhya Pradesh at Rs 27,000-Rs 28,500/candy.

New crop saw-ginned Narma [J-34] was available at Rs 2,660-Rs 2,705/maund for September, at Rs 2,555-Rs 2,590/maund for October and at Rs 2,535-Rs 2,560/maund for November delivery while roller-ginned was quoted at a premium of Rs 20 against saw-ginned cotton.
 
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