Cotton arrivals were brisk all over Cotton Mandies during fortnight ending February 28. Quality has been not to the required level in terms of fineness and uniformity etc since there was mixing up of 1st and 2nd pickings.
Cotton prices displayed a steady to firm trend as the Mills buying is supportive. On export front, demand initiatives are visible in Gujarat and Andhra Pradesh and Maharashtra. The daily average seed cotton arrivals were around 2 lakh bales.
The stocking of cotton by stake holders including Farmers are being the discussion of the cotton market watchers. CCI reports the arrival of 151.41 lakh bales in the current season upto 26.1.2014 compared to 182.23 lakh bales same time last season. Trade estimates were reported to be of more by 20% more in arrivals. The price trend may continue with steady trend during next fortnight.
NORTH ZONE [PUNJAB /HARYANA/RAJASTHAN]
The daily average arrivals were around 15000 bls during the reporting fortnight. Cotton lint prices remained steady at last fortnight level with no major variations. Weather was hot during the day with snow falls during night. Farmers were slowly moving their stock to mandies like Sirsa, Hanumangarh, Abohar, Nibha etc.
GUJARAT
As reported in our previous fortnight report, arrivals during beginning of the fortnight was less due to severe cold wave conditions prevailing, coupled with farmers reluctance to sell kappas, anticipating better rates. Prices were ruling firm due to the reasons cited, plus exporters demand also, fueled the price rise. S.6 prices were ruling throughout the fortnight at around Rs.42,800 to Rs.43,000, for 29 mm Staple length.
Kappas rates were, ruling at around Rs.1,100 per maund spot. During end of January, arrivals picked up to 60,000 bales, out of all India arrivals of about 1,94,000 bales.
Varying opinions were expressed by trade as well as Mill circles, saying that in the near future cotton prices should remain subdued due to expected, increase in arrivals, but at the same time Market may be ruling firm due to good demand from local mills, and export bookings anticipated. Seed cotton arrivals are around 50000 bls a day. Mandies like Mansa, Manavadar, Kadi, Patan, Rajkot etc. received seed cotton. Ruling prices range Rs.42000 to Rs.43000 per candy spot.
During the reporting fortnight Export enquiries were reported and domestic demand also persisted. Weather was hot with lower temperature during night time.
MAHARASHTRA
There is steady arrival of daily 50000-55000 bales. So far 30-35 lakh bales have arrived in the market. Plants were still in very healthy conditions in Marathwada and Khandesh region and still there are expectations of total arrivals of around 40 lakh bales.
This year further quality is also expected to be of good length. Rates of Maharashtra Cotton are for 31 mm, Rs.43,000 per candy spot, 30 mm Rs.42500-42800 spot and low MIC cotton at around Rs.41800-42000 per candy spot. Cotton arrivals were continuing all regional Mandies like Marathwada, Jalagon and Aurangabad. Cotton lint prices remained steady. Mills buying was slow. Demand persists.
MADHYA PRADESH
In M.P, MECH.1, 30mm (HVI) cotton with 3.8 mic is being quoted at Rs.42,700 to Rs.42,800 spot for prompt payment terms and DCH.32 is quoted at Rs.63,500 to Rs.64,500 spot, for 33mm to 34mm staple length. Export demand is subdued at present and last export business, was reported at 1.42 cts/ lb FOB, for Bangladesh, about one week back.
Seed cotton arrivals continued in leading mandies like Sendwa, Khargone etc. Cotton lint prices were steady and mixed. DCH 32 lots were in demand. Mills off take reported.
ANDHRA PRADESH
Cotton lint arrivals reported in Adilabad, Adoni etc Prices ruled firm. Mills demand continued to be steady. Quality deterioration reported.MCU5 ruled Rs.42500 to Rs. 43000 per candy spot.
KARNATAKA
Cotton arrivals are around 12000 bls a day on an average. Good demand for long staple and ELS lots.
TAMILNADU
Seed cotton arrivals continued in Konganapuram, Annur, Avinashi, Perambalur, Vizhuppuram Markets. Ruling prices of Kappas were fairly reasonable.
Due to water shortage Plant growth was stagnant. Sowing in Rice fallow belts of Thanjavur, Thiruvarur, Nagapattinam began. Mills off take is fair. Power shortage was minimum only. Textiles Industry’s Budget expectations are high.
INTERNATIONAL
Global cotton market displayed a lower trend with newyork prices around 84 cents per lb and A index 92.75 cents per lb. As per recent survey Chinas cottons production declined in 2013. China have adjusted import tariff for cotton for February 2014.
In Pakistan trade volume shrinks amid slow down. Brazilian State Tocantimes has been authorised to plant Bt cotton. Russia to stimulate cotton production. Ethiopia prepares for GM cotton. Bremen Cotton Conference to begin in 19.3.2014.
浙公網安33010602010414
