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Floods create positive impact for next cotton season
02
Mar '11
Heavy rains in all the parts of eastern Australia have greatly damaged the agricultural crops in the region resulting in loss of billions of dollars in agricultural production. However, it has left back a considerable amount of water which would now be utilized for cotton cultivation.

With globally soaring prices of cotton and sufficient availability of water in the country, the Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES), is positive on cotton farming.

According to the Australian Bureau of Agricultural and Resource Economics and Sciences' statistics, heavy rains in Queensland wiped out around seven percent of the country's total cotton cultivation, but then other regions of the country, particularly NSW is expected to produce more cotton.

Also, these heavy rains, to a great extent have eased the water scarcity situation in the region, as all the public irrigation dams in the region which cater to cotton cultivating areas, were full to the extent of 90.3 percent on an average, in the early part of February.

Further, ABARES stated that, though the cotton prices are likely to register a slight decline through 2012-13 and 2015-16, but it would still remain good for the cultivators to take up crop production.

World cotton output for 2010-11 is expected to touch 25.1 million tons, which is around three million tons more then in 2009-10.

As it happens with other commodities, cotton production too is seen to rise in the new season, as high commodity prices induce cultivators to take up the crop.

Fibre2fashion News Desk - India

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