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    India's Drought Has Led To The Stagnation Of Cotton Exports, Which Is More Expensive Than Brazil And Australia.

    2016/7/8 20:12:00 104

    CottonClothingTextiles

    India cotton Exports are almost stagnant. Drought has led to tight domestic cotton supply in the country, pushing up cotton prices and forcing traditional importing countries such as Bangladesh, Pakistan and Vietnam to turn to other countries.

    The stagnation of India's cotton exports will help boost exports from Brazil, Australia and the United States, and boost international cotton prices to the highest level since August.

    Rising cotton prices will further push up fiber and fabric prices. clothing Manufacturer's profit.

    ChiragPatel, chief executive of cotton exporter JaydeepCottonFibersPvt.Ltd, said: "in the past three or four weeks, India exporters have not been able to sign contracts. Our cotton is more expensive than Brazil and Australia. "

    He said that for Pakistan and Bangladesh buyers, the price of India cotton is 75-76 cents per pound, while the price of Brazil cotton is about 73 cents per pound.

    Because of lower freight rates, Pakistan and Bangladesh prefer India cotton.

    Spot cotton prices in India rose 10% from a month ago to 73.5 cents per pound, resulting in a reduction in cotton production due to continuous drought.

    The India Cotton Association (CAI) expects that the output of India in October 1st (starting in October 1st) is about 34 million 100 thousand bales (170 kg / pack), lower than that of the previous year's 38 million 300 thousand pack.

    CAI chairman DhirenSheth said that India's cotton exports to 2015/16 were about 6 million 500 thousand packs so far, and Bangladesh and Pakistan took over more than half of them. India's cotton exports amounted to 6 million bales in 2014/15.

    Patel says, despite cotton Spin Enterprises increased procurement, but cotton supply in spot market continued to decline.

    During the month of October -4, the supply of cotton in the spot market in India decreased by 12.5% compared with the same period last year.

    A trader from a multinational trading company said: "the industry failed to determine the impact of drought on output. Output is below the original estimate. "

    "Textile enterprises are now making large purchases to ensure that inventories are sufficient for consumption in the next four months.

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