Mahafed ups cotton prices

Mumbai, Mar 30 | Updated: Mar 31 2007, 06:31am hrs
For the second time, the Maharashtra State Co-operative Cotton Growers Marketing Federation Ltd (Mahafed) has increased cotton prices by Rs 200 per candy. The change would be effective from Thursday mainly on H-4, H-6 and MECH varieties (for old and new crop) during the current month. On March 14, the federation also increased select cotton variety prices by Rs 400 per candy due to good buying from mills.There is good buying interest from mills, a local broker said.

The federation has raised cotton prices of H-4, H-6 and MECH varieties by Rs 200 each to Rs 19,400 per candy for fair average quality (FAQ), Rs 19,600 for Superior and Rs 19,900 per candy for Superior Silver quality, respectively.

Domestic cotton markets are pretty firm. One of the reasons of this sudden large rise is due to southern mills buying. Southern mills are buying in a big way because of year-end considerations, he added.

The Mahafed is specially set up to undertake the cotton procurement in the state and selling the same to the end users. It has 12 zonal offices with 68 subzones and 523 procurement centres.