MARKET OUTLOOK
- India aims to achieve a business size of $350 billion in its textile sector, along with textiles exports of $100 billion. To accomplish this, the central government has implemented several initiatives, including PLI and Mega textile parks, and it is now focusing on optimising its resources.
- Cotton yarn prices in South India remained stable today as the demand from downstream industries continued to be weak. However, mills and traders were not willing to reduce the prices and preferred to hold onto the stock until mid-April.• LAHORE: The major reason for stagnant yields and falling area under cotton in Pakistan is the lack of good quality seeds as average cotton seed available hovers in the vicinity of having 44 percent germination
North Zone:
Cotton traded steady tone across major spot market of north India on Wednesday. Prices were quoted upn to 20-25 / maund yesterday evening. Today weather clear. New crop – cotton traded at ready delivery – In Punjab, Rs 6,175-6,275 a maund. In Haryana, it offered at Rs 6,075-6,175 a maund. while in Upper Rajasthan, quoted readty delivery at Rs 6,275-6,375 a maund.
Central Zone:
- Cotton spot prices steady tone across west India market on Wednesday. Sankar-6, new crop 29 mm (RD-75 & MIC-3.8), in Gujarat traded at Rs 60,000-60,500 a candy and 28.5mm (RD-74) quoted at Rs.59,000-59,500 a candy. V-797 trade at Rs 46,000-46,500 (12-15% trash condition) a candy for ready delivery.While in Maharashtra, new crop good grade cotton (29mm) quoted at Rs 59,000-59,500 a candy.
- South Zone:Cotton spot price was steady tone across the major trading centers of south India.
- INTERNATIONAL UPDATESUS Cotton Futures :
Cotton Closes In Black On Tuesday: Cotton futures ended off their highs on Tuesday, but still went home in the black with help from a weaker US dollar. May cotton settled 131 points under its session high, but held on to a 63 point gain for the day. The other nearbys were up by 75 to 100 points at the bell. CFTC reported Commitment of Traders data as of the 3/14 settle, showing that managed money had added 8,800 new shorts through the week. That extended the groups net short to 13,653 contracts. The commercial hedgers were both adding new longs and closing short hedges for a net 8,027 contract weaker net short. That had the group 24,678 contracts net short as of the 3/14. NOAA’s 7-day QPF has more rainfall for the North MS/Al/GA. From Eastern OK through TN, NOAA sees 2 to 4” of rainfall this week. The soil moisture WMO from USDA’s Crop Explorer already has the region in 90-100% excessive soil moisture as cotton planting is just around the corner.
The 3/20 Cotlook A Index was 125 points lower to 92.30 cents. The week’s AWP for cotton is 68.58 cents/lb. ICE certified stocks were 1,661 bales as of 3/17.
May 23 Cotton closed at 77.85, up 63 points,
Jul 23 Cotton closed at 78.45, up 75 points,
