“According to the senior executive, Sankar 6
variety reached the spot price of Rs. 41,500 per candy (356 kg) last
Thursday/ Friday. On Monday (October 18) the spot price ranged Rs.
40,200- 40,500 per candy. Arrival of cotton is on the rise given that
the monsoon is at its last leg. Although, it was raining in Mumbai on
Monday, harvest is progressing in Northern states of Punjab and Haryana
and the Western states of Gujarat and Maharashtra. ..Within 2
weeks time, cotton will start arriving from the Southern state of Andhra
Pradesh. Another leading cotton exporter who is also in the board of
the Cotton Association of India, indicated that the nominal price of
cotton to be shipped from the port in India on November 1st is $1.25 per
pound. Currently, the production estimate for 2010- 11 season by the
Cotton Association of India is 345 lakh bales (34.5 million bales of 170
kg each). However, the Cotton Advisory Board (CAB) of India has
estimated the production to be 32.548 million bales (170 kg/bale). The
CAB in the latest meeting dated August 27th has estimated the mill
consumption in 2010-11 to be 22.15 million bales and the total
consumption which includes textile mills, small scale units and non-mill
consumption to be 26.6 million bales. It is not clear whether the
Cotton Association of India will release a new crop output soon. A clear
picture will evolve after Diwali festivities after the first week of
November 2010. A general consensus in India is that the crop is going to
be big, this season. ”