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Indian spinning industry body estimates lower cotton production
Jan '11
Coimbatore, India based The Southern India Mills' Association (SIMA) with over 400 members has recently estimated that the 2010-11 season crop will be less by 2 million bales (170 kg each). According to the recent estimate by SIMA, India's cotton crop will be 30.9 million bales which is 2 million less than the recent estimate by the Cotton Advisory Board (CAB) of India.

The Cotton Advisory Board on January 6th estimated the cotton production for the 2010-11 season to be 32.9 million bales (170 kg each) and the total domestic consumption to be 27.5 million bales.

Mr. J. Thulasidharan, Chairman of SIMA in a recent press statement mentioned that with the current cotton production scenario, Indian mills will face supply shortfall from this July, which will lead sharp increase in yarn prices. He has requested the Ministry of Textiles to take up the cotton export matter with the Ministries of Commerce and Agriculture. SIMA wants the cotton export ceiling to remain 5.5 million bales (170 kg each).

Most recently, the Textile Minister of India, Mr. Dayanidhi Maran, while laying the foundation stone for a mega weaving complex in the Southern State of Tamilnadu has emphasized that the cotton export limit should be maintained at 5.5 million bales, which should bring down the cotton prices in the domestic market.

In speaking to this scribe on Tuesday, January 25th in Mumbai, India, Textile Commissioner, Mr. Anil B. Joshi said that the revision of cotton export limit can only be decided by Group of Ministers which involves concerned ministries of Agriculture, Commerce and Textiles. There is no word as to when this group will meet to take up the cotton export situation and so the export limit stands at 5.5 million bales.

Seshadri Ramkumar

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