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CAI retains 2019-20 cotton crop estimate at 330 lakh bales

Jun '20
Pic: Shutterstock
Pic: Shutterstock

Cotton Association of India (CAI) has retained its cotton crop estimate for 2019-20 at the same level as estimated by it in the previous month i.e. at 330 lakh bales of 170 kg each, in its May estimate of the cotton crop for the season 2019-20 beginning from October 1, 2019. For 2018-19 crop year, CAI finalised cotton crop at 312 lakh bales.

The total cotton supply estimated by the CAI during the months of October 2019 to May 2020 is 352.65 lakh bales, which consists of the arrivals of 307.65 lakh bales upto May 31, 2020, imports of 13.00 lakh bales upto May 31, 2020 and the opening stock estimated by the CAI at 32.00 lakh bales at the beginning of the season.

Further, the CAI has estimated cotton consumption during the months of October 2019 to May 2020 at 174.00 lakh bales, while the export shipment of cotton estimated upto May 31, 2020 is 37.10 lakh bales. Stock at the end of May 2020 is estimated by the CAI at 141.55 lakh bales including 17.00 lakh bales with textile mills and the remaining 124.55 lakh bales with CCI and others (MNCs, traders, ginners, etc.).

The Crop Committee of the CAI has estimated total cotton supply till end of the cotton season, i.e. upto September 30, 2020, at 377.00 lakh bales (i.e. at the same level as estimated in the previous month).  Total cotton supply consists of the Opening Stock of 32.00 lakh bales at the beginning of the cotton season on October 1, 2019, crop for the season estimated at 330.00 lakh bales and imports estimated by the CAI at 15.00 lakh bales, which are lower by 17.00 lakh bales compared to the previous year’s estimate of 32.00 lakh bales.

Domestic consumption for the entire crop year i.e. upto September 30, 2020 has been estimated at 280.00 lakh bales i.e. at the same level as estimated in the last month. The consumption for the crop year 2019-20 was earlier estimated by the CAI at 331.00 lakh bales based on the estimate of Cotton Advisory Board made in their meeting held in November, 2019, but the same was reduced by 51.00 lakh bales in the previous month due to the lower consumption of cotton on account of disruptions caused by the COVID-19 pandemic in the country.

The CAI has retained its export estimate for the season at the same level as estimated in the previous month i.e. at 47 lakh bales against 42.00 lakh bales estimated earlier. The increase of 5.00 lakh bales in the export estimate than estimated in the previous year was made looking to the favourable conditions existing for exports of cotton from India. The carryover stock estimated at the end of the season is 50 lakh bales.

Fibre2Fashion News Desk (RKS)

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