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Cotton arrivals to Gujarat decreases
Jun '11
Cotton arrivals to Gujarat has decreased by 4 percent in 2010-11 crop year, i.e. October 2010 to September 2011, according to the pressing data released by the All Gujarat Cotton Ginners Association.

As per the data available till May 31, 2011, Gujarat has pressed 9.55 million bales (1 bale = 170 kg) this year, as against more than 9.90 million bales pressed during the corresponding period last year.

Incidentally, Gujarat is the largest producer of cotton in India. The decrease in cotton arrivals is being attributed to late rain that led to decrease in output. Another reason is that the farmers, who have holding power, chose to hoard the cotton when prices were rising, with a hope that prices would increase further.

However, there has been a drastic drop in prices of cotton in recent months.

Ginners, however, are of the view that the decrease in cotton arrivals is not due to a fall in cotton production in Gujarat. Instead, they say, there has been a decrease in influx of cotton from the adjoining State of Maharashtra, which accounts for nearly 10 percent of the cotton pressed in the State.

In the current year, Gujarat is slated to produce 11 million bales of cotton. With a crop size of over 9 million bales, Maharashtra is the second biggest cotton producer in the country.

Fibre2fashion News Desk - India

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