Market Report- Pakistan 26th July 2022


During the last week in the local cotton market, there was a strong upward trend in the price of cotton due to the rise in the rate of the dollar. Ginners and spinners are worried about crop damage due to continuous rains. In the local Cotton market prices had increased. The rate of Phutti witnessed a significant increase of Rs 1000 to 1500 per 40 kg. The price of cotton per maund is Rs. 16,000-19000. KCA spot rate by Rs 3500 per maund and closed the spot rate at Rs 18000 per maund.

According to the information, Ginners are worried about crop damage due to continuous rains. The textile mills were facing difficulties due to the rise in the value of the dollar. For exports, the increase in dollar value is positive, but it is not good for textile and spinning mills because it is difficult for them to buy and stock cotton at high prices. Due to an increase in the interest rate, insurance, and other expenses, cotton costs about Rs. 300 per maund more per month.

The demand and price of cotton yarn are slow. The situation is like this textile spinners buy cotton at high prices and sell cotton yarn at low prices and bear the loss or they continued to buy cotton and bear the loss due to less demand for cotton yarn. Cotton prices are also declining in international markets.

According to the USDA’s weekly export and sales report, One lakh 13 thousand 200 bales were sold for the year 2022-23. Vietnam was at the top by purchasing 37,400 bales, Turkey is on numbered second with 29,000 bales and Malaysia ranked third by buying 9,200 bales.

The price of cotton in Sindh province is between Rs 16,500 to 17,000 per maund, and the price of Phutti per 40 kg is between Rs 5,000 to Rs 6,200.

The rains are continuing. It is too early to say anything about the crop, but experts estimate that around 90 lac bales will be produced.

  Opening Of the Week Closing Of the Week Change
Lowest 88.00 97.00 9.00
Highest 93.00 102.00 9.00


Crude Oil prices opened at USD 102.60 with a lower level as compared to last week’s closing figures.

This week, crude oil prices showed mix trend and closed on the downward side by the end of the week.

On the last day of the week, Crude Oil prices closed at USD 94.70 with a decrease of USD 7.90 as of the opening figure of the week.

  Opening of Week Closing Of Week Change
Price 102.60 94.70 -7.90


Last week’s value of the Pak rupee depreciated against US Dollar, other major currencies showed mix trend in both interbank and open markets.

At the end of the week, Euro closed on a positive note with a figure of 1.0212 and British Pound closed on a negative note with a figure of 1.2004 against the USD.

  Selling Buying
LC Sight 225.66 225.61
LC 120 Days 217.44 217.39
Open Market 229.78 224.73


New York Cotton futures opened with low levels on Monday as compared to the previous week’s closing figures.

NYCF showed mixed sentiment in both ways this week and closed on the negative side by the end of the week.

On the last day of the week, OCT 2022 closed at 99.60 with a decrease of 82points.

On the last day of the week, DEC 2022 closed at 90.89 with a reduction of 211 points.

On the last day of the week, MAR 2023 closed at 87.30 with a sliding of 199 points.


Liverpool Index A was opened at 126.75 with a lower level than the previous week’s closing figure.

This week’s Index “A” showed an upward trend in this week and closed on the lower side by the end of the week.

On the last day of the week, LPI “A” closed at 128.30 with a decrease of 155 points.

  Opening of the Week Closing of the Week Change
Index A 126.75 128.30 1.55


The Local yarn market remains determined and steady by following NYCF and the local cotton market. Prices were increased owing to the US $ hike & Pak Rupees devaluation. The restricted business was seen. Mills are carrying stocks and having cash crunch snags. Sellers were enthralled in selling the yarn. Whereas buyers are in observing situations & the raw cotton prices in the Global market are followed by NYCF.

PSF prices remained unchangeable in the domestic market during the last week ended. PTA and MEG prices were similarly descending in the international market while crude oil prices plunged by end of this week. For next week, PSF prices are expected to increase by Rs.4~5/kg & yarn rates of PC/CVC remain stable as well.

Faisalabad trading market standard activity was seen. Sales of fine counts yarns were reported as periodic orders of PV/Viscose yarn started fine counts were also in demand and specific deals were made. Traders were persuasive with their stocks and loom owners were in an inflexible position in yarn managing.

The followings are the latest querying prices of yarn in the local market based on ex mills:

Count Price in Pak Rupees / 10 LBS Price US$/Bale
16/1 Carded Weaving 3216 – 3328 570 – 590
20/1 Carded Weaving 3272 – 3441 580 – 610
30/1 Carded Weaving 3441 – 3723 610 – 660
20/1 CM 3780 – 3949 670 – 700
30/1 PC Carded Weaving 52:48 2736 – 2934 485 – 520
40/1 Combed  Compact Weaving 4259 – 4372 755 – 775
60/1 Combed Compact Weaving 5839 – 6093 1035 – 1080
80/1 Combed Compact Weaving 8321 – 8575 1475 – 1520


The export yarn market remained under a slow and dull trend due to uncertainty around the market.

Cotton prices remained firm till mid of the week, however, at the end of the week, cotton prices showed slight soft sentiment.

However, overall sentiment is soft and suppliers are trying to sell maximum quantities with a flexible tone in presence of firm bids.

Customers showed slightly improved activity and shared firm bids to close the orders. However, the level of the bid is quite lower than customers’ psychological levels.

It is expected that prices will show soft sentiment in days to come due to limited demand.

New cotton arrival has started and suppliers are putting tremendous efforts to get orders from spinning mills. There has been a decent improvement in prices as spinners have booked handsome quantities of cotton with improved prices.

All yarn suppliers have made up their minds to sell and discuss with customers the possibility of every order.

Chinese customers remained in the market and some business was confirmed at customers’ desired levels.

European customers floated limited numbers of inquiries against which few orders were placed.

Suppliers floated very attractive prices and those customers who decided at right time got attractive options.

Count USD / Bale
16/1 Carded Weaving 585 – 590
20/1 Carded Weaving 590 – 595
20/1 CM 745 – 750
16/1 CM 735 – 740
20/2 CD 671 – 680
24/2 CD 698 – 708


In the current week under review, the local fabric market remained slow and limited activity in the local cotton market for both narrow and wider width fabrics.

Finishers shared limited inquiries till mid of week but after mid of week due sharp rise in cotton and yarn prices flow of inquiries increased however, limited business materialization was reported towards the end of the week for both narrow and wider width fabrics.

Still, buyers are bidding very low which is approximately 5% ~ 6% due to which business activity remained slow.

Currently, weavers are booked in narrow width looms till Mid-August~ 3rd week of August 2022 and also have coverage of their wider width looms till the end of August 2022 and offering onward deliveries.

Construction Price US$/YD Ex Mill
20CDX16CD/128X60 –  63″  3/1 “S” TWILL PAK CTN 1.48 – 1.50
16X12/108X56 63″  3/1 1.63 – 1.65
20CDX20CD/108X58 63″  3/1 “S” TWILL PAK CTN 1.22 – 1.24


Inquiry flow was increased from Far Eastern customers however limited buying was witnessed.

Customers are waiting to settle down the prices but it seems that prices have already touched the lowest level and getting stable now.

Suppliers are suggesting to their customers that this is the time to place the orders because the market is stable and now getting a firm.

Raw material prices were increased by following NYCF but fabric prices were soft due to further devaluation of the local currency against the US. Dollar.

Suppliers are booked till mid of Aug and offering end-Aug onward deliveries.

Some of the suppliers are in a position to start order/production immediately if the required yarn is available.

A good flow of inquiries was observed from the European and USA market. Customers are discussing new orders which hopefully will materialize asap.

Wider width suppliers are booked till mid of Sep ~ end of Sep and offering onward deliveries.

Some of the weaving units are offering end Aug ~ mid-Sep deliveries for wider width due to fewer orders in hand

Following were the closing rates based on CNF Far Eastern ports:

Construction Price US$/YD CNF Far East
20CDX16CD/128X60 –  63″  3/1 “S” TWILL PAK CTN 1.44 – 1.46
16X12/108X56 63″  3/1 1.58 – 1.60
20CDX20CD/108X58 63″  3/1 “S” TWILL PAK CTN 1.16 – 1.18


The Home Textiles industry is going through a lean patch and overall business volume has decreased in the past few months. It is expected that the situation of business will remain same in upcoming 3 months and then gradually demand will increase from around the globe.

NYCF is stable or slightly higher than last week, overall price level remains the same due to the devaluation of the Rupee.

There is a financial crunch in industry and it is also affecting payments transition, it is badly hurting small factories.


In general, the Pakistani garment sector is busy fulfilling its orders booked in the second quarter of 2022. Initially, the factories were satisfied with the orders received, but later they stopped receiving bookings according to their capacities and expectations. During Covid-19, Pakistan’s garment sector moved towards expansion and increased its dyeing/sewing capacities to meet customer demands as
they were oversold during the Covid-19 period. However, due to global inflation, the situation changed quickly, and business became very difficult due to reduced demand in the market. On the other hand, the cotton market is very unstable, it fluctuates almost daily, and the customer is very confused when it comes to making large placements and asking for discounts due to the market instability.

As of today, the factories are operating at 50% capacity due to the slow flow of inquiries and lower order metallization. However, the good thing is that the factories are receiving new developments for FW23 and SS23, which shows a positive mood. However, the factories are fully booked until the Mid of Sep and are offering later deliveries.


It is projected that Local yarn prices will be nattering to local cotton prices and international trends of NYCF, and demand from the end consumers. Further price fondness will be according to the demand and supply of different yarn counts which will lead to the price level.

An increase in local cotton prices changes the scenario of the market, the demand and price of cotton yarn are slow. The situation is like this textile spinners buy cotton just to continue the mills.

Moving forward we expect range-bound activity in the coming weeks of local fabric with the tendency of moving upward from the current level.

The export yarn market showed improved business activity as compared with previous weeks. We might see more placements in days to come as prices are almost touching their rock bottom levels. Suppliers are offering flexible prices to catch orders and keep themselves in the safe zone.

Improved business activity was seen in Export Fabric as customers from Far Easter, Europe and USA were active. Prices have touched the lowest level so this is the right time for buying.

The garment industry is under pressure and expected that the 3rd quarter of this year 2022 will be tough for garment manufacturers.

Scroll to top