| Date: |
25-08-2010 |
| Subject: |
Cotton export on rise with floods in Pak, China |
|
With heavy floods in Pakistan and China washing away cotton fields, India is set to gain a foothold in the export market this season.
With a production of over 3 crore bales, India is the third largest cotton producer in the world after the US and China. Pakistan ranks fourth. But heavy floods in Pakistan and China is likely to create a supply deficit in the international market.
Gujarat, which accounts for 70 per cent of the total cotton export from India, has seen a record increase in cotton cultivation acreage along with a commensurate increase in the yield.
Future trading at commodity exchanges reveal the going rate of a cotton candy ( a candy is 356 kgs) above Rs 32,000 — Rs 5,000 more than the price fetched last year. Experts opine that this means that despite an increase in production, cotton prices will rise owing to a good demand in the international market.
Source : indianexpress.com
|