03 - 09 , 2001
Larger phutti arrivals trigger price fall
Cotton prices on Wednesday showed modest decline on selling
by ginners triggered by reports of larger arrivals of phutti into the ginneries
of the lower Sindh cotton belt.
Although the fall in prices of phutti was identical, signals
from the Punjab cotton belt were bearish owing perhaps to quality factors and
the consequent lowering of prices by ginners from there.
Floor brokers said although most of the leading Punjab
ginners are holding on to their unsold stocks because of lower bids by the
spinners, indications are that they may not be in a position to hold on for
longer period because of steady arrivals of phutti.
The further cut of Rs.25.00 per maund in official spot rates
has sent shock waves among the ginners who could not precisely decide how to
react to the changing market scenario guided largely by demand and supply
"The prevailing weather conditions are ideal for a
bumper crop as they could add significantly to its growth potential leading to
larger production", local ginners claim. But some others say the next two
to three weeks could be crucial for the new crop and if all goes well during
this period, the country could be on the threshold of another bumper crop in a
Market sources said it is too early to predict about the
future price direction of the local lint, indications are that the global
production glut may keep prices depressed slightly below the current levels.
"And if growers having a little holding capacity resort to panic selling
owing to ginners reluctance to pay them competitive rates then there could be
further slashing in prices", they add.
Meanwhile, ginners of Rahimyar Khan, the recently declared
model for contamination-free lint, met on Wednesday to chalk out a joint
strategy to produce high quality lint, according to local brokerage house.
Facility to overhaul steam turbine
The country's first facility to overhaul, repair and service
the speed controlling device — internal combustion engine or steam turbine,
built at a cost of Rs30 million on Raiwind Road — was inaugurated on Tuesday.
The facility — set up by Wartsila Pakistan with technical
aid from Woodward Governors Japan — would offer technical facilities to the
country's captive power plants (CPPs), independent power plants (IPPs), sugar
and shipping industries and the Pakistan Railways. Wartsila imports all its
equipment from Woodward Japan which is an American concern, and is the largest
manufacturer of governors or speed controlling devices.
POF starts making ammunition for Al-Khalid
In yet another major breakthrough, the Pakistan Ordnance
Factories (POF), Wah, has started manufacturing all types of ammunition for the
Pakistan-built mainfield battle tank Al-Khalid and Ukrainian-manufactured T-80
The ammunition being manufactured at POF, Wah, includes
100mm, 105mm and 125mm guns fitted on these tanks.
Highly-placed sources told that Pakistan has also started
manufacturing the shells of T-80UD Ukrainian tanks.
Pakistan has about 800 Ukrainian tanks, the ammunition for
which is being provided by the USA and some European countries.
Allotment policy for Sialkot EPZ
The Punjab Small Industries Corporation (PSIC) is expected to
finalize its policy to allot 873 industrial plots at the Sialkot Export
Processing Zone at a meeting with the officials of the Sialkot Chamber of
Commerce and Industry here on September 3.
The 238-acre Sialkot EPZ has been completed by the PSIC at a
cost of Rs185 million.
Normally, the PSIC allots the plots at its industrial estates
to applicant through balloting. However, it has asked the SCCI to forward its
proposals for devising a new allotment policy for the EPZ in view of the demands
from businessmen to allocate separate areas at the zone to different industries.
Moreover, those who have applied for more than one plot are demanding that they
be allotted adjacent plots.
CIRC sells another sick unit
The Corporate & Industrial Restructuring Corporation
(CIRC) sold another sick unit — Goreeja Steel Mills — for Rs16.5 million on
The sale would be approved by the CIRC directors in their
next meeting. The CIRC has so far sold 16 units out of 25 put up for auction by
it since May, Punjab finance minister and CIRC chairman Tariq Hamid told
Govt plans to decentralize seed industry
The government is considering to decentralize public sector
seed industry to encourage multinational companies to start production of hybrid
and synthetic seeds.
The government is planning to enhance existing capacity of
public sector seed agencies and lay emphasis on production and use of hybrid
seed to cope with needs of growers.
According to official sources efforts will be made to induct
NGOs and community based farmers associations along with private seed companies
for production of breeders, foundation, basic and certified seeds.
The proposal to involved private sector in promoting seed
marketing in the provincial seed industry is also under consideration, sources
Rs90m Sialkot industrial zone being planned
Provincial government is actively considering for
establishing a Sialkot industrial zone for tanneries with a cost of Rs90
million. Official sources told APP on Saturday the proposed Sialkot industrial
zone would be developed on 300 acres of land and work on the project would be
carried out in near future.
As many as 248 tanneries of different sizes are functioning
in and around the Sialkot, out of which nine large, 79 medium and 160 small
tanneries are successfully functioning in the city.