The estimated cotton crop of India is 3 crores 75 lakh bales of which approximately 3 crore bales have arrived in the cotton market. Out of this 85 lakh bales have been registered for exports as per trade sources and 80 lakh bales of cotton has already been shipped. ICF at its board meeting held on 28.3.2014 revised upwards its cotton crop estimate from 361 lakh bales to 376 lakh bales as the yield has improved in Andhra Pradesh and Maharashtra.
Director of Agriculture, Govt. of Tamil Nadu held a meeting on 28.3.14 at Chennai to discuss the implementation of the newly announced Rs.50 crore outlay of cotton development mission for Tamil Nadu to increase the area and yield of cotton. Our Hon. Secretary Shri A. Ramani attended. Cotton prices ruled steady and may go up once the arrival slows down. Quality lots are in demand.
NORTH ZONE [PUNJAB /HARYANA/RAJASTHAN]
During this fortnight, cotton arrivals are continuing with on an average daily arrival of 10000 bls. Cotton prices ranged Rs.4450 to 4600 per maund spot for roller ginned J.34 lots. Mills were cautious but trade transactions were normal. Exporters positioned along with domestic users in Mandies. Farmers group solicits more price support as cost of cultivation spiraled upwards. Group discussions also held on how to manage next sowing season. Hot summer prevailed now days.
GUJARAT
In Gujarat, for the past 15 days, no major transactions reported, due to accounting year closing, as most ginners were not in a mood to sell, and expecting rates to go up, to sell their stock lots. Throughout the fortnight under reference, arrivals were about 45,000 to 50,000 bales per day. The ruling rates were around Rs.42,500 to Rs.42,800 /cdy spot, with micronaire about 3.8, quoted at a premium. As far as S.6 quality is concerned, many variations noted in Staple and Mic, and hence transactions were reported to be below normal.
The prices for good quality 28.5mm S-6 is Rs.43,000/-Spot per candy.26mm low quality S-6 is sold at Rs.36,500/-Spot per candy. Good quality V-797 r/g is quoted at Rs.27,000/-Spot per candy. Precleaned V-797 r/g is sold at Rs.29,000/-Spot per candy.
MAHARASHTRA
Quality is quickly deteriorating in most of the cotton centres. The hailstorms and showers last month may lead to increase in production of the kappas in the standing cotton plants in some irrigated pockets but quality may be poor. Good quality 29 mm Mech-1 in Wani is quoted at Rs.41,500/-Spot per candy. The lower types of 27.5 mm of low micronaire value is quoted at Rs.37,500/-Spot per candy.
MADHYA PRADESH
In M.P, steady trend was prevailing in both 29 mm Mech.1 with Mic 3.7 + andDCH.32 – 34mm + Cottons. MECH.1, transacted at around Rs.42,500 to Rs.42,600 /cdy spot and DCH.32 at Rs.59,500 to Rs.60,000/cdy spot, depends on staple and grade.
This season both MECH.1 and DCH.32, quality suffered, to a great extent, due to unfavorable weather conditions, like intermittent unseasonal rains due to which grade of cotton affected. But, export was going on as usual to Bangaladesh and Pakistan, as there is no alternative cotton available at par with DCH.32 rates.
ANDHRA PRADESH
The arrivals are still continuing in some pockets like Nandyal, Warangal and Khamam. Good quality 29mm cotton is quoted at Rs.41,500/- Spot per candy in Adilabad and 30 mm good quality cotton is priced at Rs.42,500/-Spot per candy in Warangal. Cotton in most of the areas have length variations as farmers are bringing their old stock kappas mixed with their last picked kappas.
KARNATAKA
The arrivals are quickly dropping in most of the cotton centres of North Karnataka. Good 28mm cotton is sold at Rs.41,200/-spot per candy. In Raichur 29mm is sold at Rs.42,500/-spot.per candy. 30mm cotton is sold at Rs.43,500/-spot per candy. But all the cotton at present has length variations as Farmers are bringing their old stocked kappas with their last pick kappas. Plants are being removed and the season is coming to a close in North Karnataka in areas surrounding Ranebennur, Hubli and Bijapur.
TAMILNADU
During the current fortnight, the cotton arrivals continued in many markets Panruti, Vizhuppuram, Konganapuram etc. Summer sowing is also on. Govt. of Tamilnadu is planning to increase the area in cotton through the newly announced cotton development mission. Mills demand is modest. Power disturbances are rampant. Stock movement also slows.
INTERNATIONAL
The New York Futures is settling down at around 92.5cents per lbs with A index at 98.10 per lb. Cotton export from India may fall as per reports. Cotton cultivation in China may fall by 10% in this year since change in cotton storage policy. Brazil will have higher acreage of cotton which will boost cotton production. Turkmenistan plans to harvest 1.05 million tones of cotton this year. Cotton sowing was delayed in Uzbekistan. Mali’s cotton production is as per forecast. Mexican state Chihuahua is leading in cotton production. Vast potential is expected for cotton production in Zambia.
