CAI retains 2020-21 cotton crop estimate at 356 lakh bales

Total cotton supply estimated by the CAI during the months of October and November 2020 is 201.07 lakh bales of 170 kg each, which comprises the arrivals of 91.57 lakh bales during the months of October and November 2020, import of cotton estimated at 2.00 lakh bales up to November 30, 2020, and opening stock estimated by the CAI at 107.50 lakh bales at the beginning of the cotton season on October 1, 2020.

Further, the CAI has estimated cotton consumption during the months of October and November 2020 at 57.50 lakh bales, while export shipment of cotton estimated by the CAI up to November 30, 2020 is 12 lakh bales. Stocks at the end of November 2020 is estimated by the CAI at 131.57 lakh bales.

The CAI Crop Committee has estimated total cotton supply till end of the cotton season 2020-21 i.e. up to September 30, 2021 at 477.50 lakh bales, i.e. at the same level as estimated in the previous month. Total cotton supply consists of the opening stock of 107.50 lakh bales at the beginning of the season on October 1, 2020, crop for the season estimated at 356 lakh bales, and imports estimated by the CAI at 14 lakh bales, which are less by 1.50 bales compared to 15.50 lakh bales estimated for the cotton season 2019-20.

Domestic consumption has now been estimated by the CAI at 330 lakh bales, i.e. at the same level as estimated in the previous month.

There is an increase of 80 lakh bales in cotton consumption for the cotton season 2020-21 from the previous year’s consumption estimate of 250 lakh bales. The consumption is expected to reach its normal level this year after the disruptions and labour shortage caused on account of the lockdown imposed in the country to arrest the spread of COVID-19 pandemic.

The CAI has estimated exports for the season at 54 lakh bales, as against 60 lakh bales estimated in the previous month. This export estimate is higher by 4 lakh bales than that estimated for the previous cotton season.

The carry-over stock at the end of the cotton season 2020-21 is estimated by the CAI at 93.50 lakh bales, as against 107.50 lakh bales at the end of the previous cotton season 2019-20.

Fibre2Fashion News Desk (RKS)