Industry

Cotton production estimates revised downwards by 4%

MYSORE, 10/07/2011: Area under cotton cultivation has increased in Mysore district but the seeds are in short supply. Photo: M. A. Sriram

MYSORE, 10/07/2011: Area under cotton cultivation has increased in Mysore district but the seeds are in short supply. Photo: M. A. Sriram   | Photo Credit: M.A.SRIRAM;M.A.SRIRAM - M_A_SRIRAM

The Cotton Advisory Board, which met in Mumbai on Wednesday, has brought down its estimates for domestic cotton production for the current season.

In February, the board estimated cotton production in the country in 2015–16 (October to September) to be 352 lakh bales and it was revised downward on Wednesday to 338 lakh bales.

Imports are estimated to be 15 lakh bales. But, they could go up by two lakh to three lakh bales, said Textile Commissioner Kavita Gupta.

On cotton prices going up, she told The Hindu, “Cotton prices went up because China declared lower stocks and may be because of speculation too. But, the board has today estimated the closing stock for the current season to be 43 lakh bales. So, the situation should not be bad.” Consumption by textile mills is expected to be 274 lakh bales.

Though there are reports of delayed monsoon, Ms. Gupta said cotton crop for the next season (2016-2017) is expected to be almost the same as this year.

Pest menace

Industry sources said production estimates were reduced for the current season because of Pink Bollworm and Whitefly problems in major cotton producing States such as Gujarat, Punjab, Haryana, and part of Maharashtra.

According to chairman of Southern India Mills’ Association M. Senthil Kumar, the association foresees a comfortable cotton position for the rest of the current season and prices are likely to soften. However, imports might be even 10 lakh bales higher than the current estimates as many textile mills are buying from different countries. Apart from African countries, “They are buying from countries such as Australia.” Indian cotton prices this year are 10 per cent more than international prices.

The Textile Commissioner said three sub-committees were formed in February and two of them have recommended a format to compile prices, indicating minimum, maximum and average monthly prices and price reporting to be gradually shifted to the metric system. The sub-committee on best practices on cotton farming will submit its recommendations at the next meeting of the board.

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Printable version | Aug 12, 2020 4:19:21 PM | https://www.thehindu.com/business/Industry/Cotton-production-estimates-revised-downwards-by-4/article14486768.ece

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