India'S Cotton Supply Has Shrunk, Forcing Textile Mills To Import 2 Million Bales Of Cotton.

This year

The arrival date of the peak season is 200000 packages per day, but in July 31, 2012, the number of goods arrived reduced to 15000 bales.

India is the second largest cotton exporter in the world, and India has come to a 360 degree turn this year. India is expected to import 150-200 million cotton because of its declining domestic market and lower global prices.

It is estimated that the average import volume of cotton imports (mainly from West Africa) is more than double that of the past few years.

Experts said that in the next two months, the India textile mill will import about 1 million 500 thousand bales of cotton, mainly from Africa, Australia and Brazil.

So far, textile enterprises have imported about 500 thousand bags at a price of 75-80 cents per pound, compared with domestic cotton prices of about 88 cents.

Over the past three years, cotton prices in India have surpassed global prices for the first time, especially in the US. India's domestic cotton prices are currently 10% higher than that of the US and 14% higher than that of African cotton.

Cotton prices in India are generally lower than global prices 10-15%.

India's cotton output is 33 million 600 thousand bales this year.

The daily arrival rate of the peak season is 200000 bags, and now it has been reduced to 15000 bags.

So far, in 2011-12 years (since October 1st), 11 million 500 thousand bags of cotton have been exported and inventories are reduced.

However, Cotton Traders estimated that they had about 1 million 500 thousand bags in early 2012-13, compared with 3 million 910 thousand packages at the beginning of last year.

2011-12 cotton exports were active in the first 9 months of the year, mainly to China's exports, but almost ceased exports at the end of June.

Dhiren Seth, President of the India Cotton Association, said the current situation may be attributed to lower cotton prices in overseas markets.

Cotton from the southern hemisphere, such as Australia, Brazil and Africa, is inferior to India's domestic market cotton, but the price is cheaper. Therefore, India buyers can not resist the temptation to import these countries' cotton.

We can also call it seasonal phenomena, because we import cotton at this time of year, he said.

However, Nair, Secretary General of the India Textile Industry Federation (CITI), said that because the quantity of exports is larger than the quantity available for export, the arrival time of new cotton has been postponed, so this situation is inevitable. "DK

He said that we did not maintain sufficient buffer stocks, so now we are not likely to ease the price level.

He added that due to tight supply, domestic

Prices may be strong enough to increase import space.