Cotton export prospects are bright for the current season 2007-08 despite the strengthening of rupee against dollar and other competing countries like Bangladesh.
Exports may increase by 18-20% to 65 lakh bales during the current season over previous season?s estimate of 55 lakh bales.
?Of this, deals of about 50 lakh bales have been contracted for the current season and exports may touch 65 lakh bales,? a leading exporter said.
The Cotton Advisory Board (CAB) on Friday made export estimate of 65 lakh bales thanks to bumper crop this season. The CAB also estimated crop of 310 lakh bales for the current season (October-September). However, it is unchanged from the previous estimate made in August 2007.
The season will end with higher carry forward of 54 lakh bales for CS from 47.50 lakh bales for the previous season, he said.Total acreage in the country is projected at 95.30 lakh hectares for full season 2007-08 compared to previous figure of 93.90 lakh hectares.
?Acreage for the current season is likely to increase by 4% and the acreage under Bt cotton in the nine major cotton states is expected to rise by 71% to 63.3 lakh hectares over previous year,? JN Singh, textile commissioner said on Friday.
The revised crop estimates (state-wise) for CS 2007-08 were raised for Gujarat to 110 lakh bales, Maharashtra to 60 lakh bales, Madhya Pradesh 21 lakh bales, Andhra Pradesh 43 lakh bales, Karnataka 8 lakh bales, Tamil Nadu 5 lakh bales, Punjab 24 lakh bales, Haryana 16 lakh bales, Rajasthan 9 lakh bales and others two lakh bale. According to revised estimate, the CS 2007-08 has opened with a carryover stock of 47.50 lakh bales. With production at 310 lakh bales and imports estimated at 6.5 lakh bales, the total availability will be 364 lakh bales. On the demand side, mill consumption is seen higher at 207 lakh bales, consumption by SSI units at 23 lakh bales, non-mill consumption at 15 lakh bales and exports at 65 lakh bales, bringing the total demand to 310 lakh bales.