Record Cotton Export, Crop Expected In 2007-08

Mumbai: The country is set for to harvest yet another record crop of cotton. Going by acreage and rainfall trends, there is conviction that production could surge by 10 per cent to about 300 lakh bales (170 kg) in 2007-08 (October-September) from around 270 lakh bales this season. According to crop status report prepared by East India Cotton Association, cotton acreage has increased from 58 lakh hectares to 69 lakh ha, with Bt Cotton alone accounting for an estimated 24 lakh ha till the latter half of July.
Arrivals of 2006-07 crop are estimated have topped 270 lakh bales as of July 21, as compared with the crop size seen at 275 lakh bales max. Exports from out of the 2006 crop are currently figured at about 45 lakh bales, with bulk of shipments destined for China (27-30 lakh bales). Other importing countries include Pakistan, Bangladesh, Turkey, Thailand and Indonesia. Strong domestic consumption growth (240 lakh bales) in 2006-07 is likely result in a closing stock of less than 50 lakh bales, the lowest in three years. International cotton market is hoped to turn positive on the price front.