Home / Knowledge / News / Textiles / SIMA expects 2014-15 cotton closing stocks at 6-7mn bales
SIMA expects 2014-15 cotton closing stocks at 6-7mn bales
08
Jun '15
According to the Southern India Mills’ Association (SIMA), India would have a comfortable closing cotton stock of between 6-7 million bales by the end of the 2014-15 season.

“This would ensure better stability in cotton prices during the current calendar year,” SIMA chairman T Rajkumar said in a statement.

He also added that the country is also expected to have a comfortable cotton supply position during the 2015-16 cotton season and that the cotton market is expected to be stable in the same period.

T Rajkumar further added that this would greatly help the Indian cotton textile industry to leverage export performance particularly in the garment and made-up segments.

He stated that textile mills which used to carry three to six months cotton stock earlier have reduced inventory to just one to two months, mainly due to cotton price volatility.

He was of the opinion that there is an undue delay in getting TUFS subsidy and also exports subsidies during the 2014-15 season, due to which mills could not procure more cotton.

The predominantly cotton based textile industry has been producing almost 75 per cent of the spun yarn from cotton has been subjected to crisis from volatility in prices.

“But during the current cotton season, cotton prices have been comparatively stable due to reduced imports by China and the oversupply position in the global market,” the chairman noted.

As the international cotton prices were ruling lower than Indian prices, CCI had to venture into MSP operations and procured around 8.7 million bales during the 2014-15 cotton season.

“However, CCI’s selling policy not only affected the domestic market to a certain extent, but also made the mills using certain varieties of cotton grown in Telangana and Andhra Pradesh to face shortage of quality cotton as CCI did not release the cotton on time,” he observed.

According to the SIMA chief, with the bleak export demand, the carry over is likely to be around 7 million bales which is the highest cotton stock ever carried by India after 2008-09.

T Rajkumar also noted that though CAB has estimated that 7 million bales of cotton would be exported during current season, so far only around 4.5 million bales have been exported.

The SIMA chairman fears a rumour that the government is again making attempts to have Government to Government (G2G) arrangement to export definite quantity of cotton to countries like China, Thailand, Bangladesh, Pakistan and Vietnam.

He has appealed to the Centre to avoid such a policy and ensure that there is no government interference and leave the cotton market to take care of the supply and demand position. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Chinese firm sets up textile-garment chain in Vietnam

Apparel/Garments | On 13th Dec 2017

Chinese firm sets up textile-garment chain in Vietnam

Worldon Vietnam Co. Ltd under the Chinese Shenzhou Group is likely to ...

Courtesy: SATO Global Solutions

Information Technology | On 13th Dec 2017

Sensor networks improve inventory management

Sensor networks like radio frequency identification (RFID) and smart...

CMAI hails review of FTP as 'progressive package'

Apparel/Garments | On 13th Dec 2017

CMAI hails review of FTP as 'progressive package'

The Clothing Manufacturers' Association of India (CMAI) has hailed...

Interviews View All

Representatives
Textile & apparel industry

GST is a complicated and lengthy process

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Sanjay Desai & Ashish Mulani
True Colors

Digital textile printing will be the technology of the future

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Harsh Shah

Established in 1956 with a small beginning, Embee today manufactures a...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Vaanee Bhatia
Gritstones Clothing

<div>Delhi-based Gritstones Clothing offers quality and exemplary style...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search