Home / Knowledge / News / Textiles / Brazilian cotton price index returns to April 2018 level

Brazilian cotton price index returns to April 2018 level

18
Aug '18
Brazilian cotton price index returns to April 2018 level
Cotton prices dropped in Brazil in the first fortnight of August as sellers became more active in the spot market. From July 31 to August 15, the Center for Advanced Studies on Applied Economics (CEPEA)/ESALQ cotton Index, with payment in 8 days, decreased 2.5 per cent, closing at 3.2462 BRL per pound on August 15; returning to the level seen in April 2018.

Sellers were willing to lower asking prices as the 2017-18 harvesting advanced and the cotton purchased through contracts was delivered. Purchasers were attentive to this scenario, and in view of estimates of a larger output in Brazil in six years, they pressed down quotes for quick-delivery acquisitions, CEPEA said in its fortnightly report on the Brazilian cotton market.

Since most of the 2017-18 crop is already sold, the batches made available by cotton growers are usually of low quality. In general, currently farmers are focused on harvesting and processing of cotton. Meanwhile, trading companies were focused on the delivery of the product and were away from the spot market in the first half of the month.

Both processors and traders were only looking for cotton to meet demands for the short-term, expecting prices to decrease more sharply in view of the expected larger crop. Most agents were focused on the exports of the cotton purchased through contracts, as shipments are slow due to the harvesting delay, according to CEPEA collaborators.

According to data released by CONAB, the National Company for Food Supply, on August 9, Brazil’s 2017-18 cotton production may reach 1.98 million tons, 29.4 per cent up compared to the previous season and 0.7 per cent larger than that forecast in July 2018. That is due to a 25.2 per cent increase in the area sown. The average productivity is likely to be 1,683 kilos per hectare, up 3.3 per cent. (RKS)

Fibre2Fashion News Desk – India


Must ReadView All

Pic: Shutterstock

Textiles | On 13th Jul 2020

Egypt signs agreement for new spinning factory in Mahalla

The Holding Company for Cotton, Spinning, Weaving and Clothes in...

Pic: Shutterstock

Retail | On 13th Jul 2020

Primark, John Lewis reject govt call on furloughed staff

Primark has rejected the UK government's call to employing back...

Pic: Edcon.co.za

Retail | On 13th Jul 2020

TFG offers to acquire selected Jet stores and assets

TFG, one of the foremost independent chain-store groups in South...

Interviews View All

Karin Ekberg, Leadership & Sustainability

Karin Ekberg
Leadership & Sustainability

Sustainable models are beneficial for brands, retailers and manufacturers

Abhishek Samdaria, Reflete

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Top executives, Retailers

Top executives
Retailers

Weak rupee breeds inflation

C Dhandayuthapani,

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Larry Fontana,

Larry Fontana

Italy-based Lafer SpA is one of the most innovative surface finishing...

Manoj Sorathiya,

Manoj Sorathiya

Surat-based Sunrise Imports & Exports Co is a manufacturer and...

Giorgio Mantovani, Corman S.p.A

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Razvan Popescu, Directa Plus SpA

Razvan Popescu
Directa Plus SpA

Directa Plus is one of the largest producers and suppliers worldwide of...

Isabel Herranz, European School of Business & innovation

Isabel Herranz
European School of Business & innovation

Cutting-edge ideas like the Internet of Things and artificial intelligence ...

Aprajita Toor, Aprajita Toor

Aprajita Toor
Aprajita Toor

The creations by Aprajita Toor were born out of a deep desire to create...

Robert Brunner, Devereux

Robert Brunner
Devereux

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

Niti Singhal, Twee In One

Niti Singhal
Twee In One

Best known for convertible clothing, Indian brand Twee In One by designer...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


July 2020

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


Advanced Search