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Cotton output to fall to 390 lakh bales in 2014-15
Apr '15
Untimely rains and hail storm across the country have forced the government to lower the estimates of cotton production for the 2014-15 season to 390 lakh bales from 400 lakh bales. One bale is of 170 kg.

"Due to untimely rains/hail storm across the country, cotton crop prospects were adversely impacted particularly in central zone. Due to switching over from other competing crops, cultivation of cotton in southern zone was expected to increase further.

"Accordingly, the cotton production estimates have been revised from 400 lakh bales to 390 lakh bales for the year 2014-15," textiles minister Santosh Kumar Gangwar said in a written reply to the Lok Sabha.

The main cotton growing states include Rajasthan, Telengana, Andhra Pradesh, and Tamil Nadu. Total demand is estimated to be at 390 lakh bales in 2014-15, compared to 416.80 lakh bales in the previous season.

According to the Cotton Advisory Board (CAB) data, cotton export is also estimated to fall drastically to 70 lakh bales in this season compared to 117.92 lakh bales in 2013-14, due to lack of demand from China.

The Cotton Corporation of India (CCI) has so far procured 83 lakh bales at the minimum support price (MSP) against an expected procurement of around 90 lakh bales during the 2014-15 season.

Cotton MSP was increased by the government by Rs 50 per quintal to Rs 3,750 for medium staple and to Rs 4,050 for long staple for 2014-15 season.

Gangwar also said that the cost of Indian cotton is not higher than the international prices.

"Cotton exports from the country are under open general licence and being a cotton surplus country, sufficient cotton is available for domestic mills," he said.

But domestic cotton mills have been complaining to the government that the CCI is not releasing enough cotton in the market leading to a severe shortage of the raw material. (SH)

Fibre2fashion News Desk - India

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