Weak demand for cotton in India, prices remain stable
Although new cotton continues to flow into the market in the first two months of this cotton season, the spot price of cotton in the domestic market may remain stable in the next few days. In the past few days, the prices of major products have fluctuated, such as Shankar-6, H-4, J-34 and MCU-5. Spot prices in the domestic market rose only slightly in November. The average spot price of a small number of short-staple cotton increased, while the prices of long-staple cotton and super-long-staple cotton showed weakness. This week, the number of daily arrivals nationwide increased to 215,000 packages. However, domestic textile mills do not seem to be interested in domestic cotton because of the low quality of raw cotton. It is reported that there is a problem with the micronaire (fineness of fiber) of cotton in Maharashtra state, and the fiber and grade of cotton in Gujarat state. There are some inquiries in the export channels of Pakistan and Bangladesh, but China, the big buyer of Indian cotton, has not entered the market. As of mid-November, the total arrival of new cotton was about 4 million bales (each bale weighs 170 kg), and the national output was about 29.6 million bales. In 2007-08, the output in the northern region was about 5.4 million bales, which was higher than the output of 5.2 million bales in the previous year, and the total output in the central region was about 18.3 million bales (up from 17.2 million bales in the previous year).