The quotations at origin followed the upward trend of the New York cotton futures. According to analysts the price increase which experienced only a short drop due to obvious profit taking was caused by technical reasons as well as rising interest of several funds in the first place next to a robust U.S. market.
The local processing industries only closed contracts to be able to execute existing orders. Enquiries demonstrated broad interest, but in general the current price development did not comply with the processors’ conceptions. A wait-and-see attitude prevailed and there was no willingness to build up long-positions in contrast to the futures market.
The following contracts were closed:
Medium staple cotton: Cotton from Central Asia and West Africa was ordered for prompt delivery, Central Asian for the 1st quarter as well. Tanzanian cotton was traded for the 2nd quarter 2013.
Long- and extra-long staple cotton: Israel Pima and Egyptian Giza 86 were delivered promptly. Sudan Barakat was purchased for the 3rd quarter as well. US-Pima was sold for the 2nd and 3rd quarter 2013.