Cotton industry body retains crop estimate for 2019-20 at 330 lakh bales

By: |
Published: June 19, 2020 4:01 AM

CAI has retained its export estimate for the season at the same level as estimated in the previous month i.e. at 47 lakh bales against 42 lakh bales estimated earlier.

Further, the CAI has estimated cotton consumption during the months of October 2019 to May 2020 at 174 lakh bales while the export shipment of cotton estimated by the CAI up to May 31, 2020, is 37.10 lakh bales. Further, the CAI has estimated cotton consumption during the months of October 2019 to May 2020 at 174 lakh bales while the export shipment of cotton estimated by the CAI up to May 31, 2020, is 37.10 lakh bales.

The Cotton Association of India (CAI) has retained its crop estimate for 2019-20 at 330 lakh bales of 170 kg each, the same level as estimated by it in the previous month.

CAI released its May estimate of the cotton crop for the season 2019-20 (October-September) on Thursday. The cotton crop finalised by the CAI for the crop year 2018-19 was 312 lakh bales. The total cotton supply estimated by the CAI during the months of October 2019 to May 2020 is 352.65 lakh bales, which consists of the arrivals of 307.65 lakh bales up to May 31, 2020, imports of 13 lakh bales up to May 31, 2020 and the opening stock estimated by the CAI at 32 lakh bales at the beginning of the season.

Further, the CAI has estimated cotton consumption during the months of October 2019 to May 2020 at 174 lakh bales while the export shipment of cotton estimated by the CAI up to May 31, 2020, is 37.10 lakh bales. Stock at the end of May 2020 is estimated by the CAI at 141.55 lakh bales, including 17 lakh bales with textile mills and the remaining 124.55 lakh bales with CCI and others (MNCs, Traders, Ginners, etc.), the industry body said in a statement.

The Crop Committee of the association has estimated total cotton supply till end of the cotton season i.e. up to September 30, 2020 at 377 lakh bales, the same level as estimated in the previous month, said the statement. Total cotton supply consists of the opening stock of 32 lakh bales at the beginning of the cotton season on October 1, 2019, crop for the season estimated at 330 lakh bales and imports estimated by the CAI at 15 lakh bales, which are lower by 17 lakh bales compared to the previous year’s estimate of 32 lakh bales.Domestic consumption for the entire crop year i.e. up to September 30, 2020 has been estimated at 280 lakh bales i.e. at the same level as estimated in the last month.

The consumption for the crop year 2019-20 was earlier estimated by the CAI at 331 lakh bales based on the estimate of Cotton Advisory Board (CAB) made in their meeting held on November 28, 2019, but the same was reduced by 51 lakh bales in the previous month due to the lower consumption of cotton on account of disruptions caused by the Covid-19 pandemic in the country, said the industry body.

CAI has retained its export estimate for the season at the same level as estimated in the previous month i.e. at 47 lakh bales against 42 lakh bales estimated earlier. The increase of 5 lakh bales in the export estimate than estimated in the previous year was made looking to the favorable conditions existing for exports of cotton from India. The carryover stock estimated at the end of the season is 50 lakh bales.

All 31 members of the Crop Committee of the CAI from all over the country will meet after the lockdown is over sometime in the month of July-August to arrive at the final figures for the current crop year 2019-20.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1No need for system-wide moratorium, but some sectors will continue to need support: SBI chief
2Zomato expects business recovery from Covid disruptions in 3-6 months
3Yes Bank fixes floor price band at Rs 12-13/share for FPO