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    India Textile Industry Hopes To Sell Cotton At International Price.

    2008/11/12 9:14:00 26

    India Textile

    India's domestic textile industry requires that the state Cotton Corp of India (CCI) should sell cotton at international prices.

    This requirement was raised when the government announced in September this year that the minimum supporting price of cotton should be higher than the current market price.

    In this regard, industrial leaders met in Delhi on Wednesday to discuss the issue and put forward the request to the government.

    The government of India has raised the minimum supporting price of cotton in the cotton season from 1900 rupees / kilo to 2500 rupees / cashmere, an increase of 31.6%, while the lowest supporting price of long staple cotton increased from 2030 rupees / weight to 3000 rupees / weight, up 47.78%.

    Mr. R K Dalmia, President of the India Textile Industry Federation (CITI), said that we will ask the government that the India state Cotton Corp should sell cotton to the textile industry at the international price (the current cotton price and spot price lower than the lowest supporting price of cotton).

    The textile industry predicts that cotton prices will stabilize because of the rise in the minimum supporting price of cotton.

    Mr. Singer, Joint Secretary of India textile department recently said that cotton prices would be higher than the lowest price declared.

    In the last cotton season (10-9 months), cotton prices in India reached the highest 28000 rupee / Candy (one Candy =356 kg) and the international cotton price reached 81 cents / pound.

    However, the domestic cotton price (Shankar-6) has slipped to 22500 rupees / Candy, and the international cotton trade price is about 55 cents / pound (about 21000 rupees / Candy).

    According to the latest estimates of the cotton advisory board, India is expected to have the last 32 million 200 thousand bales (1 bags of =170 kg) cotton in the 2008-09 cotton season, and the output of cotton in the last cotton season is 31 million 500 thousand bales.

     

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