The Karachi Cotton Association (KCA) has officially announced the spot rate for Grade 3 cotton at 18,219 rupees per maund (40 kg) as of Friday. This rate serves as the base price for cotton trading in Pakistan’s textile market, influencing both domestic and international stakeholders.
Grade 3 Cotton Specifications
Grade 3 cotton features a staple length of 1-1/16 inches and a micronaire value ranging from 3.8 to 4.9 NCL (no control limits), which classifies it across fine to coarse varieties. These specifications are crucial for textile manufacturers, as they determine fiber quality, strength, and suitability for various fabric applications.
Market Report Overview
The KCA’s daily market report for Friday did not disclose trading rates for key crop varieties in the open market. However, the grade and staple margins for the period from March 1 to April 30 have been outlined as follows:
Grade and Staple Margins (March 1 – April 30)
| Grade | 31/32″ | 1″ | 1-1/32″ | 1-1/16″ (BASE) | 1-3/32″ | 1-1/8″ |
|---|---|---|---|---|---|---|
| Super | n/a | n/a | n/a | n/a | n/a | n/a |
| 1 | n/a | n/a | 214 | 643 | 1072 | n/a |
| 2 | n/a | n/a | 0 | 429 | 857 | n/a |
| 3 | -1072 | -750 | -429 | BASE | 429 | n/a |
| 4 | -1286 | -965 | -643 | -214 | n/a | n/a |
| 5 | -1500 | -1179 | -857 | -429 | n/a | n/a |
These margins provide vital insight for traders and textile producers, helping them assess cotton pricing variations based on staple length and grade differentials.
Impact on Cotton Traders and Textile Industry
The official spot rate set by KCA plays a significant role in determining market dynamics. Cotton traders, textile mills, and garment manufacturers rely on these rates to make purchasing decisions, manage supply chains, and forecast costs. The fluctuating margins across different grades further highlight the impact of fiber quality on pricing strategies.
As Pakistan remains one of the world’s largest cotton producers, updates from the Karachi Cotton Association are closely monitored by both local and international textile markets. The stability and pricing of raw cotton directly influence export competitiveness, textile manufacturing costs, and economic projections for the sector.
Stay tuned for further updates as the market continues to evolve in response to domestic and global cotton trade trends.
