22 January 2022, Mumbai:
The Crop Committee, Cotton Association of India (CAI) has released its December estimate of the cotton crop for the season 2021-22. As per estimates, cotton stock in India is likely to drop by 12 lakh bales to 348.13 lakh bales against an earlier estimate of 360.13 lakh bales.
From October 2021 to December 2021, cotton stock in India is estimated to have reached 218.52 lakh bales. This includes arrivals of 140.52 lakh bales of 170 kg each import of 3 lakh bales of 170 kg each and the opening stock of 75 lakh bales of 170 kg .each each at the beginning of the season.
Stocks reach 113.77 by December 2021
By the end of December 2021, India is expected to have a cotton stock of 113.77 lakh bales of 170 kg. Of this, 65 lakh bales of 170 kg each will be available with the textile mills, and the remaining 48.77 lakh bales of 170 kg each with the CCI, Maharashtra Federation, and others.
From October 31-December 31, 2021, India’s cotton mills are estimated to have held 65.00 lakh cotton bales of stocks. The majority of this; 48.77 lakh bales of 170 kg each were held by the Cotton Corporation of India, Maharashtra Federation, MNS, Ginners, Traders, MCX, etc. In all, spinning mills and stockists are estimated to have held 113.77 lakh bales of cotton of 170 kg each.
Production to drop by 348.13 lakh bales in FY2021-22
During the 2021-22 season, India’s cotton production will reduce to 348.13 lakh bales of 170 kg each from its earlier estimate of 380.13 lakh bales, says CAI. Gujarat will see the highest decline in production of 5 lakh bales of 170 kg each.
It will be followed by Telangana and Karnataka with the decline of 2 lakh bales each. Rajasthan will see the lowest decline in production of 0.25 lakh bales.
Consumption to increase to 345 lakh bales
CAI estimates, India’s domestic cotton consumption will increase to 345 lakh bales from 335 lakh bales during 2021-22. Exports are likely to reach 48 lakh as against the previous year’s export estimate of 78 lakh bales of 170 kg each.. Till September 2022, India will supply 438.13 lakh cotton bales of 170 kg each, estimates CAI.
The total cotton supply will include an opening stock of 75 lakh bales of 170 kg.
Imports to increase by 5 lakh bales
CAI estimates, India’s cotton imports during FY21-22 will increase by 5 lakh bales to 15 lakh bales of 170 kgs. each from the previous month’s import estimate of 10 lakh bales of 170 kg.
From October 2021 to December 2021, India’s cotton imports are estimated to decline to 140.52 lakh bales of 170 kg each Compared to the average cotton imports from October to December in the last five years, the current year’s cotton imports are likely to increase by 23.11 lakh bales of 170 kgs each compared to the average cotton arrivals of the corresponding months of the last five years.