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India to export record quantity of cotton this year
May '12
India is likely to export a record quantity of around 12.8 to 13.3 million bales (1 bale = 170 kg) of cotton during the current crop year, after the Government revoked its earlier ban on exports, according to industry analysts.

India has already exported 11.5 million bales during the current cotton season ending in September, as per the Cotton Advisory Board (CAB) data.

With the lifting of the ban on exports, experts estimate India will export another 1.3 to 1.8 million bales during the remaining part of the cotton year, especially due to good demand from Bangladesh and some Southeast Asian countries.

In 2010-11 marketing season, India exported a total of 6.6 million bales of cotton. Initially, the Government projected 8.4 million bales of cotton exports during the current season. However, when exports surpassed the estimated figure, the Government imposed a ban on cotton exports.

The ban was revoked by the Government earlier this month after a review of India's cotton demand and supply situation.

Experts say India may end the current cotton season with exports of around 12.8 to 13.3 million bales, which would be much higher than the previous record of 8.8 million bales registered in 2007-08 season.

India's total cotton production this season is estimated at around 34.7 million bales by the CAB, whereas the agriculture ministry estimates a record production of around 35.2 million bales.

At the beginning of the current season, India had a carry-forward stock of nearly 4 million cotton bales, taking the total availability of cotton in the country, for this season, to around 39 million bales.

The CAB estimates the domestic consumption of cotton to decrease to 25.2 million bales this year, as against consumption of 26.7 million bales in last season.

Fibre2fashion News Desk - India

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