2016 cotton production up by 1%; CAI
PUNE: The Cotton Association of India (CAI) has put its December estimate of cotton production for 2016-17 at 341 lakh bales, which is higher by 1% than the previous year. However, the trade body expects lower arrivals, claiming that farmers are holding the crop.
CAI, which mainly represents cotton traders, has released its December estimate of the cotton crop for the 2016-17 season beginning from 1st October 2016. The CAI has placed the cotton crop for the 2016-17 season at 341 lakh bales of 170 kgs. each.
The current production estimate of CAI is slightly higher that the last year’s estimate of 337 lakh bales.
“The projected Balance Sheet drawn by the CAI estimated total cotton supply for the cotton season 2016-17 at 404.00 lakh bales while the domestic consumption is estimated at 290.00 lakh bales thus leaving an available surplus of 114.00 lakh bales,” stated a release of the trade body.
It added further, “The arrivals of cotton during the ongoing 2016-17 crop year are estimated to be lower than those upto the same period last year due to holding back of seed cotton by farmers.”
Source: ECONOMIC TIMES