India May Delay Cotton Export Time

India is the world's second largest cotton producer, and India plans to export 5 million 500 thousand bales of cotton in 2010-11 years (October 1st).

Earlier this month, India postponed the registration date of cotton exports which began in September 15th until October 1st, because the textile industry is worried about the rise in domestic prices.

The Ministry of agriculture and textiles will meet on Tuesday to determine the export volume for 2010-11 years.

If the conference allows exports, domestic textile mills and exporters will compete for a limited source of cotton, and prices will be pushed up again.

In India, the price of the most popular Carle 6 variety on Saturday was 37700 rupees ($837.8) / candy (356 kg), an increase of 68% over the same period last year.

Prices hit a record high of 38500 rupees earlier this month.

Last week, New York cotton rose to a 15 year high because of speculation and textile mill procurement. Analysts said that the main reason for the price increase was speculation, and they expected cotton prices to continue to rise if the weather in China and Pakistan was bad.

This year, about 60% of India's cotton exports to China, China is the world's largest cotton consumption country.

The India Cotton Advisory Committee expects that in the 2010-11 year, 4 million 50 thousand bags in the early were 43% lower than the previous year.