Pakistan Local Cotton Market:
(The local cotton market faced a slowdown due to ongoing elections, yet prices rose in line with international trends. As the crop season nears its end, mills, driven by specific requirements, continue procuring amid the approaching depletion of stocks)
1- Throughout the entire week, the local cotton market witnessed a sluggish business environment, primarily attributed to the ongoing elections. Despite this slowdown, prices saw an upward trend in alignment with the international market dynamics.
2- Mills in need were procuring according to their specific requirements, considering the approaching end of both stocks and the crop season.
3- International cotton showed rising trend due to the active demand by different regions. Global economic conditions are precarious, with many relying on government funds, notably the U.S. Demand challenges persist in the cotton market, as mills struggle to replace raw cotton at profitable prices, leading to cautious buying and sluggish yarn demand, hampering exports.
4- The market has turned very bullish as it attempts to decipher the size of 2023 U.S crop, most likely 400,000 bales lower than the current USDA estimate of 12.43 million bales.
5- Last week, cotton prices in Punjab and Sindh remained firm from Rs 19,200 to Rs 22,000 per maund, (USC 0.84~0.96 lbs). In Sindh, cotton rate was Rs 19,200 to Rs 21,500 per maund, while in Punjab it ranged from Rs 19,200 to Rs 22,000 per maund. KCA was same at Rs. 20,500 per maund and PSF remained same at
Rs. 365 PKR/kg.
Local Yarn Market:
(The local yarn market remained mixed with limited business activity during the week. It is estimated that the market will stay pervasive influencing cotton prices, and customer demand. Furthermore, movement will clear by next week)
1- The local yarn market is steady and robust in terms of yarn prices due to an increase in NYCF and local cotton with dull business activity. In two to three weeks, the mills sold out of their available yarn.
2- PSF prices remained stable on the domestic market and for next week are expected to remain stable.
3- The Faisalabad market is constant with limited activity. PV yarn is in demand and the rest of cotton counts and PC are deliberate.
| Count | Price in Pak Rupees / 10 LBS | Price US$/Bale |
| 16/1 Carded Weaving | 3475 – 3600 | 500 – 515 |
| 20/1 Carded Weaving | 3600 – 3725 | 515 – 535 |
| 30/1 Carded Weaving | 3850 – 4050 | 555 – 580 |
| 20/1 CM | 4100 – 4200 | 590 – 605 |
| 30/1 PC Carded Weaving 52:48 | 3120 – 3240 | 450 – 465 |
| 40/1 Combed Compact Weaving | 4650 – 4750 | 670 – 680 |
| 60/1 Combed Compact Weaving | 6450 – 6600 | 925 – 950 |
| 80/1 Combed Compact Weaving | 8570 – 9200 | 1230 – 1320 |
| 40/1 CVC Carded Weaving 60:40 | 4000 – 4100 | 575 – 590 |
Export Yarn Market:
(Export yarn market remained firm and stable with active business throughout the week. Customers remained busy in asking prices and deals have been closed as well. It is expected that price will remain firm and stable with tendency to increase more in days to come)
1- Export yarn market remained firm and stable with good business activity.
2- Good numbers of inquiries were floated by customers against which handsome quantity business was closed.
3- Suppliers have increased prices due to better sales and higher demand.
4- Cotton prices, both local and international market showed upward trend and we may see more rise in days to come due to very good demand from all regions.
5- This will put impact on yarn prices as well and suppliers are anticipating further price hike in days to come.
6- The global supply chain crisis has led to higher shipping costs to Europe/USA, potentially causing a significant rise in yarn prices due to 3-4 times higher freight charges.
7- China remained slow due to Chinese new year holidays.
8- European customers were actively checking prices and have placed orders for their urgent requirements. We might see more business placements in days to come.
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Local Fabric Market:
(The local fabric market was slow with limited order booking at last week price levels. We may foresee some trend to continue in next week however prices may tend to move upward)
1- The local fabric market showed sluggish and limited trading activity for both narrow and wider-width fabrics throughout the week mainly due to general elections and slow demand.
2- Local finishers and brands shared limited inquiries and preferred to remain sideline and floated inquiries were just for price checking. Resultantly week closed with limited order confirmation at last week’s price level.
3- The weavers have booked their narrow-width looms until mid-March 2024 and their wide-width looms until the end of March 2024/early April’2024 and are offering onward deliveries.
Export Fabric Market:
(Mixed trading activity was seen in export fabric markets. Far Eastern customers bought limited quantities; however, European and USA buyers have bought decent quantities at 4~5% less than the current price levels after tough negotiations. Suppliers are hopeful of good business activity in the days to come)
1- The export fabric for the Far Eastern market remained mixed with limited business activity.
2- Chinese customers are in a holiday mood, so no considerable inquiries were exchanged by the customers.
3- A limited number of inquiries were received from Korea, Bangladesh, Japan, and Vietnam, resulting in limited buying during the week.
4- Asking prices were stable with a firm tone due to the firmness of raw material prices.
5- Suppliers are booked until mid-March and offer onward deliveries.
6- There was a good flow of inquiries from European and USA buyers, both for narrow and wider-width fabric.
7- European customers have bought decent quantities, mainly in wider-width fabric.
8- Suppliers are booked till mid of April and offering end April onward deliveries..
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Bed Linen and Towel:
(All eyes for Home textile suppliers are on New government, improved expected tariffs for energy and other utilities as well as expected rise in USD to meet the rising challenge of MOQs and very hard to meet Target price points from foreign customers)
1- Home textile business activity in this week was slow amid General elections in Pakistan and on/off work days.
2- As earlier predicted about the expected rise in USD, some orders were confirmed at very rock bottom prices which would barely touch the break even for suppliers. From buyers end, quantities and price targets remains a challenge.
Garments:
(Generally, garment demand is slow due to uncertain economic situations around the globe. Negligible orders received from EU and USA. The denim sector is optimistic about getting more orders during 2nd quarter for sustainable products)
1- Pakistani garment factories are searching for large volumes to fill their production space. 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.
2- Some American and European brands are also working on new products for the SS25 season. At the same time, other garment companies are still waiting for orders to fill their manufacturing capacity.
3- 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 mid-May 2024.
4- 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 72.78 a higher level as compared to last week’s closing figures. in this week, crude oil prices showed an upward trend and closed on the higher side by the end of the week.
2- On the last day of the week, Crude Oil prices closed at USD 76.84 with an increase of USD 4.06 cents as of the opening figure of the week..
| Opening of Week | Closing Of Week | Change | |
| Price | 72.78 | 76.84 | 4.06 |
Exchange Rate:
1- In the last week values of Pak rupee appreciated against US Dollar’s, other major currencies showed a mixed trend in both interbank and open markets.
2- At the end of the week, the Euro closed on a positive note with a figure of 1.08 and the British Pound also closed on a positive note with a figure 1.26 against USD.
| Selling | Buying | |
| LC Sight | 278.50 | 278.45 |
| LC 120 Days | 270.50 | 270.45 |
| Open Market | 282.60 | 276.51 |
New York Cotton Future:
The New York Cotton futures started the week slight lower than the previous week’s closing figures. NYCF showed upward trend and closed on higher side.
1- On the last day of the week, MAR 2024 closed at with increase of 474 points.
2- On the last day of the week, MAY 2024 closed at with rose of 419 points.
3- On the last day of the week, JUL 2024 closed at with surge of 370 points.
4- On the last day of the week, OCT 2024 closed at increase of by 148 points.
Liver Pool Indices:
1- Liverpool Index A opened at 95.85 a higher level than the previous week’s closing figure.
2- Index “A” showed an upward trend this week and closed on the higher side by the end of the week.
3- On the last day of the week, LPI “A” closed at 96.85 with an increase of 100 points..
| Opening of the Week | Closing of the Week | Change | |
| Index A | 95.85 | 96.85 | 1.00 |
