Cotton Association of India projects the coutnry’s exports of cotton fiber will increase by 4 lakh bales to 54 lakh bales for the season 2020-21 (October to September). Cost advantage in the international market helped India export about 29 lakh bales of cotton by end of January 2021.

Nearly 60 per cent of these shipments were executed during the first four months of the 2020-21 season. Data shows that in the initial four months of the season October 2020 to January 2021, cotton exports have touched highest in past three years. During the comparable period in 2018-19, cotton exports were reported at 24 lakh bales and in 2019-20 it was at 20 lakh bales.

Traders attributed the jump in exports to the lower prices and better quality of the initial crop. Meanwhile, in its crop estimate for the month of January, CAI has retained the crop size for the year at 360 lakh bales. However, of the total projected supply of about 499 lakh bales for the season, first four months have reported total supply of 389.25 lakh bales.

Opening stock at the beginning of the cotton season on October 1, 2020 was estimated at 125 lakh bales. Of the 499 lakh bales supply projection, barring 125 lakh bales of opening stock, crop size for the current season is likely to be 360 lakh bales and 14 lakh bales of imports.