Indias cotton output is expected to fall to 16.5-16.7 million bales in the 1997/98 (Oct-Sep) crop year from 17.65 million bales in the previous year, a senior official said.
Cotton output is expected somewhere between 16.5 to 16.7 million bales this season, M P Gajaria, secretary-general of the Indian Cotton Mills Federation , said. The crop in northern India has been badly affected because of the leaf curl virus, he added.
In the Mumbai cotton market yesterday, Punjab varieties climbed but Gujarat cotton lost ground as demand resistance prompted profit-taking, dealers said. Punjab cotton extended gains on the back of eased new crop supplies due to unseasonal rain. In the spot deals Bengal-deshi gained Rs 10-20 to Rs 1,280-1,340 per maund while Punjab saw-ginned rose Rs 5 to Rs 1,745-1,885 per maund.
Traders reported arrivals of 5,000/6,000 bales in Punjab region against the recent daily average of 15,000/20,000 bales. Gujarat cotton fell as mill buying was sluggish, prompting profit-taking. In spot deals, long-staple Gujarat Sankar-4 fell Rs 300 to Rs 19,500-19,900 / candy for superior grade while average grade was quoted lower at Rs 18,700-19,000 /candy.
