Indian current season cotton acreage up from last year

Cotton sowing has been very good in this region and we may see an increase in the Cotton crop here if nature supports from time to time with favourable weather conditions. Mech-1 was quoted at Rs.42,500/-Spot per candy while DCH-32 was quoted at Rs.52,000/-Spot per candy. Area covered so is almost same as last season.

In M.P, MECH-1, 29 mm and 3.8 mic cotton rates were ruling steady at around Rs.42,500 to Rs.42,800/ candy spot. As for as DCH.32, prices are concerned, steady trend was prevailing for 33.5 mm to 34.5 mm quality (for which stocks are limited) at Rs.52,000 to Rs.53,000 / candy spot.

In M.P, this season, monsoon rains were reported to be more than normal, in this month and in some pockets, incidence of rainfall was reported to be excess, causing concern among farmers anticipating, some damage to the crop.

ANDHRA PRADESH

There has been good rainfall in most parts of Andhra Pradesh and Cotton sowing is yet to be completed in parts like Guntur and Warangal. There is not much of Cotton stocks with the private traders right now. Prices for good quality Bunny with CCI is Rs.42,900/-Spot per candy for 31mm at centres like Guntur and Warangal and Adilabad side CCI has sold at Rs.42,300/-Spot per candy. Cotton sowing is in progress and crossed over last season level.

KARNATAKA

Cotton sowing is almost complete and there has been good increase in the sowing area compared to last year in pockets near Bijapur and Raichur. The price for good quality bunny is Rs.43,500/-Spot per candy and Jaydhar is priced at Rs.32,500/-Spot per candy and DCH-32 is quoted at Rs.52,500/-Spot per candy. Area sown is almost double that of last season.

TAMILNADU

Due to reasons like delay in release of Cauvery water by Karnataka and drought like conditions in some pockets of Tamilnadu last month many farmers had opted to sow cotton this season as they were fetching prices like Rs.5200/- per quintal for BT cotton in Boothapadi and Anthiyur last month.

Fortunately right now the rains have improved and power condition has also drastically improved for the textile mills there by improving their productivity .Here as mentioned above the southern districts of Tamil Nadu i.e.Madurai Theni, Thirunelveli etc is having moisture stress and farmers are unable to undertake cotton sowing and may be delayed.25% sowing is pending. Ruling prices are high i.e.Rs.6000/to 7000/per quintal and arrivals continued.

INTERNATIONAL

As per reports from USDA in USA there has been a reduction in cotton estimate of the cotton crop in USA by 22% mainly due to drop in cotton sowing in areas surrounding Texas due to shift by farmers to Corn and Soya beans. China is said to have a year's Cotton consumption as carry forward stock right now and this will increase further in the upcoming Cotton season.

China Cotton stock is 163% of stock to use levels and is holding 63% of Global stock reserves as per reports. Based on numbers released by USDA for the July 23 crop progress report, overall conditions for the 2013 Cotton acres have stabilized over the past week, as the crop continues to mature.

On average, this year's crop has now equaled the four year average for squaring and is making significant weekly progress in boll set. Eighty-nine percent of the crop is now reported as squaring - a 12 percent increase over a week ago and only one percentage point behind the four-year numbers from 2008-2012. Boll set also showed solid progress. In Pakistan cotton area dwindled as sugarcane has overtaken.

Indian Cotton Federation