Cotton Commodity Demand Limit, Price Decline in Trade

Cotton commodity demand from mills and exporters was limited amid higher arrivals. Trade sources expect prices to decline after Diwali. Because of late sowing new arrivals have been delayed by a month this year, said a Rajkot-based broker.Gujarat Ginners Association has predicted 140 lakh bales production in Gujarat, against 110 lakh bales last year.

Cotton will trade between Rs 37,000 and Rs 40,000 a candy until arrivals of quality crop begin after Diwali, when mills in the South and exporters will increase buying, traders and brokers said.

A-grade Sankar-6 variety sold at Rs 39,000-39,500 a candy of 356 kg while medium grade was at Rs 34,000-36,000 a candy. Raw cotton or kapas quoted at Rs 925-955 for a maund of 20 kg. While 13,000-14,000 bales of 170 kg each, including 4,000 bales of new cotton, arrived in Gujarat 40,000-42,000 bales arrived in the rest of the country.

In Maharashtra, about 4,000 bales arrived and traded at Rs 37,000-39,000 a candy. Kapas from Maharashtra traded at Rs 900-910 a bale in Gujarat. New kapas sold at Rs 900-940 for a maund in Gujarat.

Category: Cotton, cotton demand, cotton price, india cotton production, kapas price, trading cotton