Pakistan Local Cotton Market:
(Local cotton prices rose last week due to crop shortages and international trends, the market remains subdued with low business volume as buyers await the full arrival of the new crop by the end of June. Despite recent gains in ICE cotton prices, market confidence remains shaky, influenced by technical buying and pending US cotton export sales data)
1- In the local cotton market, prices increased last week following reports of crop shortages and a rise in international cotton prices.
2- Additionally, ICE cotton prices saw a slight improvement this week due to various factors. It appears that international prices will stay at their current levels, while local prices are anticipated to decrease further with the arrival of the new crop, which is expected to be fully available by the end of June.
3- Business volume has stayed low as buyers wait for the new crop to arrive. Partial arrivals have started, and a few ginning factories are now operational, but activity continues to be subdued.
4- The arrival of Phutti; however, has increased. The intense heat has affected cotton sowing. In Punjab, the sowing target has not been fully achieved yet. The local cotton market witnessed the partial arrival of new season Phutti during the last week, with a daily increase in supplies.
5- ICE cotton noticed some stability and saw few gains on short covering. Earlier, in the previous trading session, it had noted significant losses.
6- Despite positive movement, the market was still facing lack of confidence as recent gains were noted due to technical buying. There was no major change in fundamentals. The traders were waiting for US cotton export sales report due today evening.
7- Last week, cotton prices in Punjab and Sindh showed firmness from Rs 20,000 to Rs 21,000 per maund, (USC 0.88~0.93 lbs). In Sindh, cotton rate was Rs 20,000 to Rs 20,500 per maund, while in Punjab it ranged from Rs 20,500 to Rs 21,000 per maund. KCA remained same at Rs. Rs. 19,700 per maund and PSF remained same at Rs. 367 PKR/kg.
Local Yarn Market:
(Limited business activity was seen with stable prices in local yarn market. It is determined that the market is expected to maintain stable prices and normal activity. Furthermore, movement will clear out by the next week)
1- The local yarn market continued steady with stable prices of yarn and limited business activity.
2- Suppliers carry no huge stocks and manage production and sales with ready deliveries.
3- PSF prices remained stable on the domestic market for next week it is expected to increase by Rs 2~3/kg.
4- The Faisalabad market is stable with limited activity in fine cotton counts and PC/PV demand is normal.
| Count | Price in Pak Rupees / 10 LBS | Price US$/Bale |
| 16/1 Carded Weaving | 3250 – 3330 | 470 – 485 |
| 20/1 Carded Weaving | 3400 – 3500 | 495 – 510 |
| 30/1 Carded Weaving | 3850 – 3950 | 560 – 575 |
| 20/1 CM | 4000 – 4150 | 580 – 600 |
| 30/1 PC Carded Weaving 52:48 | 3300 – 3450 | 480 – 500 |
| 40/1 Combed Compact Weaving | 4600 – 4700 | 665 – 680 |
| 60/1 Combed Compact Weaving | 6100 – 6250 | 885 – 905 |
| 80/1 Combed Compact Weaving | 8100 – 8300 | 1175 – 1205 |
| 40/1 CVC Carded Weaving 60:40 | 4100 – 4200 | 595 – 610 |
Export Yarn Market:
(Export yarn market showed improved business activity as customers remained in market and there was good numbers of enquiries. Market has witnessed order confirmation where customers got their desired prices from suppliers)
1- Export yarn market showed good business activity as customers placed orders with selected suppliers.
2- Good numbers of inquiries were received form customers against which order materialization was decent as well.
3- Cotton prices showed mix sentiment as week but at the end week closed with firm note
4- Suppliers are trying to catch any order which is serious buying from customers and negotiating prices with customers to conclude business.
5- Chinese customers floated handsome numbers of inquiries against which orders we closed.
6- European customers were actively floating inquiries for normal and specialized items. Some placements have been witnessed and we might see more order to be closed which are under discussions.
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Local Fabric Market:
(Mixed trading activity was seen in local fabric market. Customers were acquiring 4~5% than the offered prices. Looking ahead to the coming week, we anticipate a continuation of the slow market sentiment, with fabric prices)
1- In the local fabric market, trading activity remained subdued throughout the week for both narrow-width and wider-width fabrics.
2- Buyer inquiries were limited, with most focusing on price checks rather than actual purchases, resulting in minimal trading activity as the week closed.
3- Bids from buyers were 4% to 5% lower than the prices weavers could accommodate, despite their willingness to book orders.
4- Currently, major weavers have their narrow-width looms booked until early July 2024, and their wide-width looms booked until the end of July 2024. They are now offering deliveries for subsequent periods.
Export Fabric Market:
(Export fabric business was slow during this week after active business activity during last couple of weeks. Less number of orders are expected during next week as suppliers have increased their prices whereas customers are not ready to pay existing prices)
1- Export fabric market remained dull and slow after actively business activity during the last couple of weeks.
2- Suppliers have increased their offered prices adjusting their cost of production.
3- Customers have exchanged their target prices but suppliers shown their resistance thus did not accept lower target prices.
4- Currently weaving units are booked till mid of July and offering end July onward deliveries
5- The flow of inquiry was reasonable from the European customers however limited booking was witnessed due to high offered prices and lower target prices.
6- USA market was comparatively slow as no considerable business was noticed during the week.
7- Wider width suppliers have covered their sales till end of July and offering mid ~ end Aug onward deliveries.
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Bed Linen and Towel:
(Despite good flow of inquiries, order confirmations are still very low due to constant high energy costs and little consideration of Lower yarn rate anticipation. High inflation, rising energy costs and very competitive target prices are badly affecting HT industry)
1- Good flow of inquiries and orders observed in current week for the home textile sector. However, the critical deadlock between Customer targets and supplier offered prices remain a bone of contention in order conformations.
2- The industry is forced to make bookings and locking prices at loss. Although Yarn rate is anticipated to fall down in coming weeks but Marketing concerns are not taking this anticipation into account in costing parameters, on the other hand, Increased energy Tariffs are constant source of high costs which is very severely affecting order confirmations.
Garments:
(Because of global economic uncertainty, garment demand is often slow but it’s going towards improvement. Orders from the EU and the US were increased. The denim industry anticipates orders for sustainable products during the fourth quarter)
1- Pakistani garment factories are searching for large volumes to fill their production space.
2- Some factories have received orders from export customers and are filling them. Some major global apparel labels have also begun placing orders with their usual production operations. This has provided a gleam of hope for the forthcoming seasons.
3- Some American and European brands are also working on new developments for the FW25 season. At the same time, other garment companies are still waiting for orders to fill their manufacturing capacity.
4- Some garment manufacturers have recently received good orders from their customers. Overall, factories have delivery available 90 to 100 days after order confirmation. However, factories are booked till End of 2024.
5- In the denim sector, the worldwide market is still striving to recover from inflation, but manufacturers are optimistic about the next seasons since consumers still have a high demand for sustainable products and are prepared to pay a premium for environmentally friendly products
Crude Oil:
1- Crude Oil prices opened at USD 74.22 with lower level as compared to last week closing figures. in this week, crude oil prices showed mix trend and closed on higher side by the end of week.
2- In last day of the week, Crude Oil price closed at USD 75.53 with increase of 1.31 USD cents as of opening figure of week
| Opening of Week | Closing Of Week | Change | |
| Price | 74.22 | 75.53 | 1.31 |
Exchange Rate:
1- In last week values of Pak rupee appreciated against US Dollar’s, other major currencies showed mix trend in both interbank and open markets.
2- At the end of week, Euro closed on a positive note with figure of 1.08 and British Pound also closed on positive note with figure 1.27 against USD.
| Selling | Buying | |
| LC Sight | 275.72 | 275.67 |
| LC 120 Days | 260.29 | 260.24 |
| Open Market | 281.34 | 275.37 |
New York Cotton Future:
The New York Cotton futures started the week lower than the previous week’s closing figures.
NYCF showed a upward trend in this week, while dropped again on last session hence closed with mix sentiments by the end of week.
1- July 2024 closed at 73.84, up 69 points from the previous week.
2- October 2024 closed at 74.20, experiencing a upward of 10 points from the previous week.
3- December 2024 closed at 72.89 showing a lower trend of 46 points from the previous week.
4- March 2025 closed at 764.64, drop by 54 points from the previous week..
Liver Pool Indices:
1- Liverpool Index A was opened at 86.80 on lower level from the previous week of closing figure.
2- In this week Index “A” showed downward trend and closed on lower side by the end of week.
3- At last day of the week, LPI “A” closed at 83.65 with decrease of 315 points..
| Opening of the Week | Closing of the Week | Change | |
| Index A | 86.80 | 83.65 | -3.15 |
