High cotton prices may impact exports in 2022-23
Cotton exports are estimated to decline 64 per cent in 2022-23 marketing year ended September due to higher prices of the commodity in the domestic market. The cotton marketing year begins from October. Cotton export during 2021-22 marketing year was 43 lakh bales which fell to 15.50 lakh bales in 2022-23, Cotton Association of India (CAI) said.
Cotton exports are estimated to decline 64 per cent in 2022-23 marketing year ended September due to higher prices of the commodity in the domestic market. The cotton marketing year begins from October. Cotton export during 2021-22 marketing year was 43 lakh bales which fell to 15.50 lakh bales in 2022-23, Cotton Association of India (CAI) said.
"The plunge in exports to 15.50 lakh bales in 2022-23, is mainly due to higher cotton prices in India, which was much higher than the global prices, during October till March. The high prices have impacted cotton exports from India," CAI President Atul Ganatra said, as quoted in media reports. He said cotton imports are also expected to decline in 2022-23 by 2.50 lakh bales to 12.50 lakh bales following higher import duty.
Meanwhile, CAI has estimated cotton pressing numbers for 2022-23 season at 318.90 lakh bales as against its forecast of 311.18 lakh bales in the previous month. In 2021-22, the total cotton pressing stood at 307.05 lakh bales. The total cotton supply in 2022-23 is estimated at 355.40 lakh bales, which is more by 5.22 lakh bales than its previous estimates of 350.18 lakh bales.
The estimated total cotton supply consists of the opening stock of 24 lakh bales at the beginning of the season on October 1, 2022, cotton pressing numbers for the season estimated at 318.90 lakh bales and the imports for the season at 12.50 lakh bales.
CAI has retained its domestic consumption estimate at 311 lakh bales for 2022-23 season. The carry-over stock, which was earlier estimated at 23.18 lakh bales, is now estimated to be higher at 28.90 lakh bales, the data added.
