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Strong rupee unable to curtail cotton exports to China

09 May '07
1 min read

The recent rise in rupee value against the dollar has curbed India's march to overtake US in becoming the largest cotton exporter to China.

India's export of 2.5 million bales to China in the seven months from October-April, is a little lower than 2.6 million bales sold by US to Beijing.

Kishorilal Jhunjhunwala, President of the East India Cotton Association (EICA) expects that India may export 100,000 bales more by the end of this cotton year, as the quality of production is improving.

Jhunjhunwala said exports to China till September this year may reach about 3 million bales, same as last year. He expects US exports to China to come down from previous year's 3.7 million bales.

EICA Chief anticipates that total cotton exports from India may touch 4.7 million bales of last year, even though strong rupee value has slowed exports over the last one month.

EICA president predicts that country's cotton production during 2006-07 may touch to 27 million bales with better use of seeds and technology, up 11 percent from last year.

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