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India's cotton exports likely to rise 19% in 2019-20: The Cotton Association of Indiaqrcode

Aug. 20, 2020

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Aug. 20, 2020

India's cotton exports likely to rise 19% in 2019-20: The Cotton Association of India

India’s annual cotton exports in the crop year (Oct-Sept) are likely to rise 19% over 2019-20, a trade body said. The Cotton Association of India (CAI) has increased its estimate of exports.

According to an official release from the CAI, "There is an increase of 3 lakh bales in the estimate of cotton export for the season made now compared to the CAI’s previous estimate of 47 lakh bales made during the last month on account of more favourable conditions for exports of cotton from India. This export estimate of 50 lakh bales is higher by 8 lakh bales compared to that estimated for the 2018-19 crop year. Upto 31st July, 43 lakh bales are estimated to have been shipped and shipment of further 7 lakh bales is estimated to take place during the months of August and September 2020."

CAI increased its estimates of cotton production by 19 lakh bales to 354.50 lakh bales of 170 kg each compared to its previous estimate last month.Estimated cotton supply from October last year to July 2020 is 392.40 lakh bales including import of 15 lakh bales and opening stock of 32 lakh bales.Domestic consumption estimated by the CAI for the entire crop year is 250 lakh bales, 30 lakh bales lower than the earlier estimates because the pandemic has hit sales.

The CAI has increased its estimate of cotton imports by 1 lakh bales to 16 lakh bales compared to its previous imports estimate of 15 lakh bales. "This import estimate of 16 lakh bales is just half of the previous year’s import estimate of 32 lakh bales. This decrease in the imports estimate for the season compared to the last year is mainly on account of easy availability of cheaper cotton in domestic market and relatively costlier imported cotton due to depreciation in the value of Indian Rupee. Upto 31st July, cotton imports are estimated at 15 lakh bales and the remaining 1 lakh bales are estimated to arrive Indian Ports during the months of August and September 2020," CAI said.

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