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India's cotton exports to plummet 45% in 2012-13
Oct '12
Cotton exports from India are likely to witness a significant drop of around 45 percent in the 2012-13 marketing season that began on October 1, 2012.
The international demand for cotton is likely to be less this season due to high stocks, and this will affect India’s cotton exports, Textile Commissioner AB Joshi said after a meeting of the Cotton Advisory Board (CAB).
CAB estimates India’s cotton exports during the current marketing year to fall to seven million bales of 170 kg each, a drop of over 45 percent compared to exports of 12.8 million bales made by India last season.
In 2011-12, around 65 percent of India’s cotton exports were destined to China, but this year there might be a sharp fall in demand from China, according to the CAB.
China is likely to import less this year as it has huge stockpiles of cotton, and also because it is likely to harvest good crop this season, Mr. Joshi said.
Moreover, prices of cotton in India are higher compared to prices prevailing in international markets, which will also impact India’s cotton exports, he added.
The CAB advises the Government of India on cotton production, consumption and sales, including exports.

Fibre2fashion News Desk - India

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