In addition to domestic sales, the CCI has also sold 30,000 bales to Bangladesh last week, Pradeep Agrawal, CMD of the CCI, told FE.
The Cotton Corporation of India (CCI) has sold around 1.28 crore bales (170 kg each) to millers and traders in the 2020-21 season, top officials at the corporation said. In addition to domestic sales, the CCI has also sold 30,000 bales to Bangladesh last week, Pradeep Agrawal, CMD of the CCI, told FE.
“CCI has sold almost all stocks of the previous season of around 108 lakh bales and some 20 lakh bales from the current season, which means a total of 128 lakh bales or 1.28 crore bales. Last year, the CCI had stocks of 115 lakh bales and only 7 lakh bales remained unsold,” Agrawal said.
- Gold Price Today, 15 June 2021: Gold below Rs 49,000 ahead of US Fed meet; analysts advise ‘sell on rise’
- Petrol and diesel price today 15 June 2021: Rates steady at record highs; Check prices in Delhi, Mumbai here
- Gold, silver under pressure as dollar strengthens; expect bullion prices to trade sideways this week
According to data available on the CCI website, the Committee on Cotton Production and Consumption (CCPC) — a body represented by growers, traders, textile industry and officials of ministries of textile and agriculture — has estimated the carryover stocks at 120.95 lakh bales for the current season. The CCPC has estimated that India could still carry over a high 97.5 lakh bales of cotton stocks to the next season, while the Cotton Association of India (CAI) has estimated it at 115 lakh bales.
According to the CAI, the present carryover stock is estimated to be 125 lakh bales. The situation of high carryover stocks arose due to the lockdown in March last year, which had resulted in the textile industry, particularly spinning and garment units, shutting down. Production began in full swing only after September.
According to Agrawal, the CCI has procured some 92 lakh bales this season. With kapas (raw unginned cotton) prices crossing Rs 6,200 per quintal, farmers no longer require CCI intervention and minimum support price (MSP) purchase continues only in rural far-flung areas,” he said, adding that only some 8,000 to 10,000 bales are being purchased on a daily basis.
The CAI had estimated cotton production at 360 lakh bales, which is the same as the previous season.