KARACHI: Raw cotton steadied on Thursday despite the highest increase at the International Commodity Exchange, dealers said.

Spot rates of the Karachi Cotton Association (KCA) remained unchanged at Rs10,600 per maund and Rs11,360 per 40kg for average-quality lint.

Seedcotton (Phutti) was sold in the range of Rs4,200 and Rs4,900 per 40kg, depending on the quality.

Raw cotton at ICE New York for March and May contracts skyrocketed 5 cents each to hit a record high of $1.66 and $1.59 per pound, respectively, at the ICE, New York, while boosting appeal for the commodity.

“China, the main commodity buyer, had been buying thousands of bales daily from the international market, taking prices to the highest level,” said Naseem Usman, chairman of the Karachi Cotton Brokers Forum.

“There is a bit of news in the local market that Indian exporters are about to back out again of the deals made with their counterparts in Pakistan due to soaring prices of the commodity.”

Local importers had already booked around 0.4-5 million bales of raw cotton with their counterparts in India to meet a shortfall of four million bales caused by floods in August last year.

Meanwhile, the country’s cotton sales stood at 17,600 bales of raw cotton (170kg each), including 1,400 bales each from Fazilpur and Shahdan Lund; 600 bales from Rajanpur; 400 bales each from Bhakkar, Taunsa Sharif, Khanpur, Fazilpur, Dera Ghazi Khan, Burewala, Haroonabad and Layyah; 3,000 bales from Mianwali; 2,000 bales from Mian Channu; 1,000 bales from Uch Sharif; 1,800 bales from Rahim Yar Khan, ranging in between Rs10,500 and Rs11,100 per maund, another 400 bales each from Ghotki and Rohri; 800 bales from Tando Adam; 1,000 bales from Shahdadpur; and 600 bales in mill-to-mill deals, varying in the range of Rs10,350 and Rs11,000 per maund.