The estimated cotton consumption for marketing year beginning August 2005 has been revised to 21 million bales according to Subhash Grover, Chairman and Managing Director of Cotton Corporation of India Limited.
He said the earlier estimate of 18 million has gone up as mill consumption has gone up considerably, at nine percent above last year's figure.
Union Textiles Minister Shankersinh Vaghela has indicated that cotton prices were expected to fall further with the arrival of new crop by mid-September.
He added that Cotton Corporation of India and the State Marketing Federation would have to gear up for procuring cotton under the MSP scheme in increased volume compared to previous years.
Vaghela said that better domestic supply, subdued cotton prices, higher man made fiber and yarn prices and a spate of expansion in spinning capacities in the local textile industry would all fuel demand for cotton.
He added that export of Indian textiles would go up to US $30 billion in the following two years while overall textiles exports stood at US $14 billion.
Vaghela also announced that the textile ministry would sign a memorandum of understanding (MoU) shortly for setting up 25 apparel parks across the country.
Government will allocate Rs 50 crore for each apparel park, he announced.
-Ltd..jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Thermore (Far East) Ltd.")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)")
.jpg?tr=w-120,h-60,c-at_max,cm-pad_resize,bg-ffffff "Taiwan Textile Federation (TTF)")
