Indian cotton trade export booms up with China's raised demands..!

NewsBharati    06-Mar-2019
Total Views | 0
New Delhi, March 6: Indian cotton exporters seem to turn cheerful due to a shoot in demand for cotton from China, especially at a time when cotton exports to Pakistan have come to halt due ahead of the tensions between two neighbours. Indian traders have contracted for export 5 lakh bales to China for shipments in the next two months.
 
“Though there will be no trade now with Pakistan, there’s good export demand for Indian cotton from many other countries like Bangladesh, China, Vietnam, Indonesia and many more,” said Atul Ganatra, president, Cotton Association of India (CAI).
“During the past couple of weeks, around 4 to 5 lakh bales (of 170 kg each) of cotton have been sold by Indian exporters to China for March-April shipments. The demand from China is robust even now at 79 per cent,” he said.
“The decline in the domestic prices has brought export parity,” said a Mumbai-based trader.
There has been uncertainty in global cotton trade due to the ongoing trade war between the US and China. CAI had estimated exports for the 2018-19 season to decline by 27 per cent to 50 lakh bales, compared with the estimated exports of 69 lakh bales during last year. India’s total cotton exports shipment is around 32 lakh bales up to February 2019.
India has already exported 6.5 lakh bales of cotton to Pakistan, which accounts for 10 per cent of India’s cotton exports. Traders were expecting to export another 4-5 lakh bales to Pakistan, but things have turned hostile at the border. Increase in export demand from other countries is likely to compensate for the loss of trade with Pakistan, reported the statement.