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Cotton prices rise due to low output

15
Sep '09
The cotton crop is expected to be 30 percent less than last year, leading to an increase in prices, since most farmers shifted to more remunerative crops in recent years.

As per tradition, cotton traders pay advances to the farmers and book the cotton even before harvesting. The biggest fall in production has been reported from the cotton hub of
Cukurova.

Area under cotton cultivation has fallen by 25-30 percent in recent years, which has led Turkey to import cotton from countries like India and Pakistan.

Before 2009, the textile sector was growing at a furious pace, leading to an increase in demand for the white gold, ultimately leading to a rise in prices.

Turkey used to be a leading exporter of cotton to the world, but, as a result of wrong policies, Turkey's cotton exports have fallen to 1 million tons in recent years.

Prices have increased by TL 1 per kg, which brings good tidings for cotton farmers and could lead to a renewal of interest once again amongst other farmers.

Low output and a competition among cotton traders to purchase the new cotton crop is also helping the increase in prices, ultimately benefiting the farmers.

Fibre2fashion News Desk - India


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