Cotton output estimate lowered by 3 lakh bales .

Mumbai, April 8 The Cotton Advisory Board, which met in Mumbai on Thursday, has lowered the production estimate for the crop season ending September 2010 to 292 lakh bales of (170 kg each) against expectation of 295 lakh bales in December.

“Though there were marginal increases in production outlook in some states, Punjab is expected to produce 16 lakh bales, two lakh bales lower than earlier expectations, while Madhya Pradesh may see a fall 3.5 lakh bales to 18 lakh bales,” said Mr A.B. Joshi, Textile Commissioner (Mumbai).

Cotton export estimates have been revised to 80 lakh bales against 55 lakh bales estimated earlier.

“China tops the list of major cotton importers from India with 31 lakh bales, Bangladesh imported 8.60 lakh bales, Pakistan 4.02 lakh bales, Hong Kong 2.18 lakh bales,” Mr Joshi said.

Incidentally, the Cotton Association of India (CAI) has estimated a cotton crop of 301.75 lakh bales. The total supply including imports is estimated at 383.25 lakh bales, while domestic consumption was estimated at 250 lakh bales, leaving a surplus of 133.25 lakh bales, CAI said.

Healthy trend

Mr Dhiren N. Seth, President, CAI, said cotton exports have witnessed a healthy trend and appear to have recovered from last year's poor performance.

Cotton prices will continue to remain firm due to high international prices and better realisation by spinners, he said in a press release on Thursday.

Source : Business Line