Home / Knowledge / News / Textiles / Imports of cotton zoom northwards, exports southwards
Imports of cotton zoom northwards, exports southwards
Apr '09
India which had exported around 8 million bales (1 bale=170 kg) in the last cotton season is expected to import 1 million bales in the current and ongoing cotton season. The irony comes from the government decision to increase the Minimum Support Price (MSP) by 25-40 percent.

While global cotton prices had touched four year lows since the unfolding of the economic crisis and the beginning of the new cotton season, Indian cotton prices have moved northwards, thanks to the increase in MSP, which has led to this unprecedented growth in imports.

This has compelled Indian textile mills to import sizeable quantities of cotton from overseas markets, from the US and Pakistan in particular, due to the big price disparity prevailing in the domestic and international markets.

To add to the woes of the cotton textile mills, prices of cotton in the open markets have now started inching past the MSP prices as the state agencies like Cotton Corporation of India (CCI) and Nafed have mopped up a large number of bales from the market.

Experts had predicted an artificial shortage of good fibre length and quality cotton in the markets since most of the good cotton is locked away in the warehouses across India of these two state procurement agencies, who between them are sitting on a stock of 29 million bales.

This has led to a growth in prices of a few varieties of cotton, which are now quoting above MSP levels, notably of the Gujarat grown Shankar-6 variety, which is now priced at Rs 1,500 per ton above the MSP price of 28,500 per ton.

Fibre2fashion spoke to Kishore Shah, President of Central Gujarat Cotton Dealers Association who said that, “Due to increase in MSP prices, exports have become difficult and even at current market prices Shankar-6 variety is costlier by 3 cents, comparable with a US cotton variety”.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 27th Oct 2016

Teijin Frontier develops Solotex RC lightweight fibre

Teijin Frontier Co. Ltd, fibre products converting company and part...

Tosha Hays addressing the conference. Courtesy: College of Family and Consumer Sciences, UGA

Textiles | On 27th Oct 2016

Industry experts discuss future of fabrics at UGA

Industry experts, researchers and military officials discussed the...

Textiles | On 27th Oct 2016

Fischer Konzept installs sixth Zünd digital cutter

Fischer Konzept, German developers of individual packaging solutions...

Interviews View All

Angelina Francesca Cheang

'Consumers in the age-group 21 to 38 are driving the activewear trend'

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Rajiv Sirohi

‘Portugal is taking away a major share of the mill made sector.’

Mohammad Hassan
Biax Fiberfilm

About one in every 20 patients picks up an infection while hospitalised....

Eric Scholler

The Indian market has huge potential in technical textiles, and by far,...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Robert Brunner

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

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


Browse Our Archives


Advanced Search