Indian cotton exports gathering pace after high global prices

Posted by Daily Shipping Times on 16-03-2018        Tweet

MUMBAI: India's cotton exports have been gathering pace after global prices jumped to four-year highs, with traders in the world's top producer of the fibre signing contracts in the last three weeks to ship over 1 million bales, industry officials said recently.

Increased supply from India could drag on the rally in international prices and would likely compete with shipments to Asia from exporters such as Australia, Brazil and the United States.

"There is continuous export demand at the current price level," said Atul Ganatra, President of the Cotton Association of India (CAI).

India could export more than 6 million bales in the current season ending on Sept. 30, up a fifth from previous estimates, Ganatra said.

Indian merchants have contracted to export 4.7 million bales so far this marketing year, of which nearly 3.5 million have already been shipped, industry officials and dealers said.

The Country exported 5.82 million bales of cotton last marketing year, according to data compiled by the State-run Textile Commissioner's office.