Market Report- Pakistan 28th November 2022


During the last week in the local cotton market, activity again dropped after a previous improved week, in which ginners released their stocks due to improvement in prices, hence later in this week again international prices showed a downward trend. Almost a stagnant atmosphere in the business. The reason behind, there is no stability in prices, and buyers remained away from buying.

Ginners have a stock with them and facing a severe financial crunch due to no business activity in the market. They have had old stock with higher prices with them.

In the local cotton market, the price showed softness this week. The rate of cotton was Rs 14,500 to Rs 18,000 per maund. The price of Phutti is in between Rs 5,500 and 9,000 per 40 kg. KCA decreased rs. 500 and came at the level of Rs.16,700 per maund.

Cotton yarn prices continued to decline in the last seven days in China. Prices lost about 200 yuan per metric ton on average. Cotton prices are more slowly dropping than expected in the current period due to delays in arrivals from Xinjiang. The rebound in covid cases is expected to disrupt logistics further while depressing demand from downward processors again. Operating rates have been slashed at weaving mills in the last weeks to reduce inventory levels. Cotton yarn import prices fell about 2 cents per kilo in the last seven days, in line with the current trend on the international market.

Chinese textile chain is confronted with the US ban on Xinjiang cotton, which limited demand from US buyers in the last months. Demand and production should fall in the coming period until a potential rebound after the lunar year holidays by early February. The Wall Street Journal reports that a few days before Chinese leader Xi Jinping’s summit last week with President Biden, Beijing dispatched a delegation of senior policy advisers and business executives to New York to meet with a U.S. counterpart group set up by insurance executive Maurice “Hank” Greenberg. Such a high-level group hasn’t come to the U.S. since the COVID-19 pandemic started, and in that time, U.S.-China relations plunged. Distrust between the two countries is still high, but Xi’s approval of the delegation’s visit signals his intention to prevent the relations from going off the rails and to find a way to communicate. Chinese officials begin meeting with counterparts from U.S. Defense Secretary Lloyd Austin met his Chinese counterpart, Wei Fenghe, for the first time in months.

China decided to start buying Brazilian grains back in May in part to reduce dependence on the US and replace supplies from Ukraine cut off by the Russian invasion. In October, China approved over 130 facilities for export.

The US accounted for about 70% of Chinese purchases in the 2020-2021 season. The rate of cotton in Sindh is between Rs 14,500 to Rs 16,500 per maund. The rate of Phutti as per quality is in between Rs 6,000 to Rs 8,000 per 40 kg. In Punjab province, the price of cotton was Rs 15,500 to Rs 18,000 per
maund, and the price of Phutti was Rs 7,000 to Rs,9,000 per 40 kg.

The price of Phutti was in the range of USC 0.79~0.98 Lbs. (14,500~18,000/ maund).

  Opening Of the Week Closing Of the Week Change
Lowest 76.00 81.00 5.00
Highest 93.00 98.00 5.00


Crude Oil prices opened at USD 79.73 a lower level as compared to last week’s closing figures.

This week, crude oil prices rose the next day, later showed a downward trend in this week and closed on
the negative side by the end.

On the last day of the week, Crude Oil prices closed at USD 76.28 with a decrease of USD 3.45 as of the
opening figure of the week.

  Opening of Week Closing Of Week Change
Price 79.73 76.28 -3.45


In the last week values of the Pak, rupee depreciated against US Dollar, and 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 1.04 and British Pound also closed on a positive note with a figure of 1.21 against the USD.

  Selling Buying
LC Sight 222.69 222.64
LC 120 Days 213.79 213.74
Open Market 226.64 221.66


New York Cotton futures opened at a lower level on Monday as compared to the previous week’s closing figures.

NYCF rose on the next two days, later dropped on closing after the Thanksgiving Day holiday, and closed on the lower side by the end of the week.

On the last day of the week, DEC 2022 closed at 80.18 with a decrease of 98 points.

On the last day of the week, MAR 2023 closed at 79.53 with a drop of 25 points.

On the last day of the week, MAY 2023 closed at 78.64 with a downward of 51 points.

On the last day of the week, JUL 2023 closed at 77.61 with a drip of 95 points.


Liverpool Index A opened at 104.05 a higher level than the previous week’s closing figure.

In this week’s Index, “A” showed mix trend for the whole week and closed on the negative side by the end of the week.

On the last day of the week, LPI “A” closed at 101.35 with an increase of 270 points.

  Opening of the Week Closing of the Week Change
Index A 104.05 101.35 -2.70


The local yarn market continued steadily in asking prices and dignified in business by the end of this week following NYCF and the local cotton market and partial inquiries from customers. Spinning mills were carrying stocks and had cash flow problems. Sellers were intensified to sell the yarn. Whereas buyers are in a soft position & NYCF follows the raw cotton prices in the Global market.

PSF prices continued stable in the domestic market during the last week ended. PTA and MEG prices remain indulgent in the international market plus the settling of the US $ parity effect in Pak rupees on importing fiber.

At the same time, crude oil prices continued to be inflexible by the end of this week. For next week, PSF prices are expected to remain stable.

Faisalabad trading market was inactive and limited business was seen. The yarn was not as much in demand and had no extensive sales of PV and Viscose yarns. The cash flow system remains thoughtful. At the same time, Traders were embraced with their stocks.

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 2800 – 2850 505 – 510
20/1 Carded Weaving 2750 – 2900 495 – 520
30/1 Carded Weaving 3050 – 3225 550 – 580
40/1 CVC Carded Weaving 60:40 3000 – 3100 540 – 555
30/1 PC Carded Weaving 52:48 2450 – 2640 440 – 475
40/1 Combed Compact Weaving 3650 – 3800 655 – 685
60/1 Combed Compact Weaving 4750 – 5100 855 – 915
80/1 Combed Compact Weaving 8200 – 8500 1475 – 1525


The export yarn market showed nominal business activity. Customers floated good numbers of inquiries against which order materialization was limited.

Customers are still indecisive regarding market sentiment and take lots of time before placing any orders.

If we analyzed overall market conditions, the demand worldwide has shown a decline which is putting pressure on suppliers as supply is still good.

Many suppliers who planned to close their production due to tough market sentiments are now coming back to start their production.

This has created an opportunity for some customers as well because suppliers offered very attractive prices against which deals were matured as well.

Chinese customers kept on checking prices as a good number of inquiries were received. This week, improved business activity has been noticed by Chinese suppliers.

European customers floated a good number of inquiries. Some orders in normal and specialized yarns were also matured at improved price levels.

Count USD / Bale
16/1 Carded Weaving 515 – 520
20/1 Carded Weaving 525 – 530
20/1 CM 590 – 600
16/1 CM 585 – 590
20/2 CD 600 – 605
24/2 CD 625 – 635


The local fabric market started slow and closed with mixed activity for another week for both narrow and
wider-width fabrics.

Local traders and finishers have exchanged limited inquiries resulting in limited buying both in stretch narrow width and stripe satin items both in a narrow and wider width.

Weavers remained desperate throughout the week to capture the floating orders as much as possible and
followed agents and buyers for any reasonable bid to keep their looms running.

Currently, weavers are booked in narrow width till mid-December and covered their wider width looms till the 3rd week of December’22 and offering onward deliveries. Weavers have booked their special looms till the end of December/early January’23.

Construction Price US$/YD Ex Mill
16CDX12CD / 108X56 – 63″ 3/1 “S” TWILL PAK CTN 1.42 – 1.44
20CDX16CD / 128X60 – 63″ 3/1 “S” TWILL PAK CTN 1.32 – 1.34
20CDX20CD / 108X58 – 63″ 3/1 “S” TWILL PAK CTN 1.10 – 1.12


Few inquiries were received from Far Eastern customers for price checking mainly as no considerable business was witnessed.

Customers from Japan, Bangladesh, Vietnam, Korea, and China are buying only for urgent orders which are in small quantities.

Asking prices were stable as there is no change in the market compared to last week.

Suppliers are offering 30 days lead time as they can start production in the next couple of days from the order confirmation.

Improved business activity was seen from European customers mainly from Germany, Portugal, Italy, and Spain.

Limited buying was reported during the week. Some good quantity orders are still under discussion which hopefully will finalize during next week.

Wider width suppliers are also offering 30~40 days lead time due to fewer orders in hand however dobby and stripe satin items deliveries are available for 60~70- days.

The USA market is still quiet as no considerable inquiries were seen during the week.

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

Construction Price US$/YD CNF Far East
16CDX12CD / 108X56 – 63″ 3/1 “S” TWILL PAK CTN 1.40 – 1.42
20CDX16CD / 128X60 – 63″ 3/1 “S” TWILL PAK CTN 1.30 – 1.32
20CDX20CD / 108X58 – 63″ 3/1 “S” TWILL PAK CTN 1.08 – 1.10


Home Textiles’ overall business activity is slow and new business are very limited in recent weeks. Customers are sharing limited inquiries but target prices are very sharp due to the decline of prices in the market and low demand. It is expected that some business activity will be done in December. We are forecasting that this trend will continue till early next

Overall demand is on the slower side around the globe which is affecting business volume in Pakistan and as well as other regions around the globe that supply Home Textile products.


Overall Pakistan’s apparel industry is facing an uneven time due to fewer orders in hand. Many factories facing a hard situation and not running at their 100% capacities.

Due to inflation and recession, many small units failed to sustain themselves and collapsed. The overall global demand is getting less and especially from US and EU markets they have cut down their demand.

Even some customers have their garment stock and they couldn’t properly utilize it due to less demand. Therefore,
buyers are very cautious about future bulk purchasing.

Some orders were placed by the buyers in very small quantities. However, FW23 bulk placement is expected by end of this quarter or early 2023. On the other hand, customers have started placing SS24 developments, the initial work begins which is a healthy sign.

There are lesser inquiries market but for those inquiries, factories are offering deliveries from January onwards. Raw material price fluctuations are consistent but they impact garment prices.


Overall textile products have less demand, mills are unable to get the orders and most of the mills are partially working and most of the units are closed worldwide. Hence, low demand has put significant pressure on the suppliers/mills. It seems that the market will remain dull for a few more months until the economic/inflation conflicts are settled. It seems that cotton prices will not rise further and may remain the same at these levels in the coming days.

For European markets, the overall situation is slow but as forecasted in recent weeks slight business activity has started. As stocks are built up with buyers so business activity is on the slower side and regular demand can only be determined after Christmas / New year break, it is expected that this trend will be continued till Quarter 1 of 2023.

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