The Cotton Production and Consumption Committee expects production in the current season (October 2020 to September 2021) to be 360 lakh bales, slightly lower than the 2019-2020 estimate. of 365 lakh bullets.
At a meeting on Friday, the committee estimated that the current campaign’s cotton exports amounted to 70 lakh bales and the consumption of textile factories at 288 lakh bales. The closing stock is expected to be around 119 lakh bales.
At its previous meeting held in January of this year, the committee estimated 2020-2021 production at 371 lakh bales, consumption of textile factories at 312 lakh bales and exports at 75 lakh bales.
According to K. Selvaraju, secretary general of the Southern India Mills’ Association (SIMA), textile mill consumption and exports this year may be lower than estimated due to the spread of COVID-19 and its impact on business industrial.
“The labor shortage is the main challenge for textile factories,” he said.
Atul S. Ganatra, president of the Cotton Association of India, said about 43 lakh bales have been shipped for export so far.
Exports to China and Bangladesh had slowed. With a huge closing stock, domestic cotton prices are expected to be stable.