Purchasing Power To Restore Volume To Reduce Cotton Prices In India

India cotton prices rebounded slightly in the week ending Wednesday. The government did not explicitly say that it would ban cotton exports. After the rumors of export ban disappeared, the buyer returned to the market.

At the same time, the reduction of supply of goods by farmers is also conducive to market strength.

A Mumbai cotton trader said that there were few pactions in the market, and farmers almost sold out their cotton, and buyers were not eager to purchase cotton because they had stocked enough stocks.

He expects cotton prices to fall in the next few days, once the purchasing power goes down.

On Wednesday, the Shanker-6 grade cotton price was 22300-22700 rupees (558.25-568.26 dollars) / candy, higher than last Wednesday's price of 22000-22500 rupees /candy.

Each candy is equivalent to 355.62 kilograms.

Meanwhile, from the beginning of the market year in October, India cotton merchants have exported about 550-600 million bales of cotton, each weighing 170 kilograms.

The arrival volume of new cotton arrived slightly reduced to 40000-50000 packs, compared to 45000-50000 packets last week.

According to the insiders, 85% of the new cotton has been picked up.

In the farming year, the cotton planting area increased by 4.4% to 9 million 60 thousand hectares per year.

Among them, the planting area of genetically modified BT cotton is about 5 million 330 thousand hectares.

The government expects cotton output to grow 11% to 31 million bales in the market.

In India, most of the cotton is planted in May and July, and the harvest season begins in mid September.