Stability Marks Andhra Pradesh Cotton Market Amid Limited Demand

New Delhi, April 6 (Commodities Control): Cotton prices in Andhra Pradesh held steady on Monday, reflecting a subdued demand from spinning mills. Concurrently, daily arrivals of Kapas in the state's mandis witnessed an increase.

Traders point to the cautious approach adopted by spinning mills, which are procuring cotton only as per immediate requirements, as the primary reason behind the market's stability. Limited demand from spinning mills has kept prices stable today. However, despite the local market exhibiting stability, global market dynamics have influenced a reduction in sales by ginners.

While prices opened higher in the world market today, the sales of ginners in the domestic market witnessed a decline. The Cotton Corporation of India (CCI) holds a significant stock of cotton in South Indian states, but its selling prices are comparatively higher. This factor, coupled with the subdued demand from spinning mills, is anticipated to further bolster cotton prices in the region.

In the domestic futures market, cotton prices displayed a mixed trend today. Kapas prices in the April-24 futures contract on NCDEX weakened marginally by Rs 2, settling at Rs 1,518.5 per 20 kg. Conversely, cotton prices in the May-24 futures contract on MCX saw a notable increase of Rs 220, reaching Rs 61,800 per candy.

Today's daily arrival of Kapas in the mandis of Andhra Pradesh stood at 3,500 bales, maintaining consistency with the previous trading day.

(CommoditiesControl Bureau; +91-9820130172)