KARACHI: Cotton prices on Wednesday came under pressure in the absence of buying from spinners who are faced with liquidity crunch.

The slow off-tal(e of cotton yarn and falling exports of textile goods continue to depress cotton demand, brokers said.

Though the textile industry had been raising voiceagainst long delay in payment of their refunds, the Federal Board of Revenue has so far remained indifferent to the issue.

Though world cotton markets slightly recovered, prices on the domestic market came under pressure, brokers said.

Meanwhile, chairman of Pakistan Cotton Ginners` Association (PCGA) Dr Jassumal met Commerce Minister Khurram Dastgir on Wednesday andexpressed his concern over falling cotton production.

The PCGA chairman and other members also met Secretary Finance Tariq Bajwa and informed him about the current situation faced by the textile industry owing to non-payment of refunds as it was also adversely hurting cotton trade.

The Karachi Cotton Association cut its spot rates by Rs50, to Rs6,700 per maund (around 37 kilograms).

On the ready counter, only one official transaction of 1,000 bales was reported from Rahimyar Khan at Rs6,900 per maund.