Our Correspondent Rajkot, March 18
Demand for cotton declined after prices touched Rs 40,000 a candy last week.
Gujarat Sankar-6 cotton was down by Rs 100-200 to Rs 39,200-39,300 a candy (of 356 kg) for average quality. Best quality Sankar-6 quoted Rs 38,500-38,800 while V-797 cotton A grade was Rs 30,500-31,000.
Arrivals:
About 32,000-33,000 bales of 170 kg cotton arrived in Gujarat and 95,000 bales cotton arrived across the country. Total arrivals were reported at 20,000 bales in Maharashtra, Madhya Pradesh reported 9,000 bales and Gujarat reported 35,000 bales. Kapas or raw cotton also traded lower by Rs 5 at Rs 975-990 for 20 kg. Kadi delivery kapas stood at Rs 995-1,010.
A Rajkot-based cotton trader said that demand was marginally down from mills’ side on Monday after prices quoted Rs 40,000 on Saturday.
price outlook:
Cotton price may further decline in this week. However, according to traders and brokers, overall trend is bullish as arrival is low and export demand is likely to emerge. Moreover, farmers were also retaining their produce and the revised estimate for cotton production for the year 2012-13 has also come down. (Source: The Hindu Businessline)