Cotton Prices Slide in North India Amid Weak Demand; Daily Arrivals Improve

New Delhi, April 13 (Commodities Control): Cotton prices have declined for the fourth consecutive day across the markets in North Indian states including Punjab, Haryana, and Rajasthan, impacted by reduced demand from spinning mills, ehile improvement in arrivals of Kapas noted in mandis.

On the international front, ICE cotton futures saw a notable decline on Friday, with the May-24 futures contract dropping by 0.75 cents to 82.62 cents per pound. The July-24 contract decreased by 0.66 cents to 84.59 cents, while the December-24 contract was down by 0.58 cents to 80.11 cents. This global downtrend is influencing domestic prices, as traders and experts observe a direct correlation between international market fluctuations and local market trends.

Domestically, the daily arrivals of Kapas have increased, further contributing to the price pressure. Market reports indicated an increase from 4,900 bales on the previous working day to 5,200 bales today, with each bale weighing 170 kg. This increase in arrivals amid stagnant demand has led to a softening of prices.

In detail, Kapas prices ranged from Rs 6,600 to Rs 6,900 per quintal in the mandis along the Punjab and Haryana line, while prices in Upper Rajasthan quoted between Rs 6,700 and Rs 7,000 per quintal. Concurrently, cottonseed prices are holding steady, quoted at Rs 2,200 to Rs 2,450 per quintal in Punjab and Haryana, and Rs 2,300 to Rs 2,600 in Upper Rajasthan.

Spot cotton prices have also been affected. In Punjab, prices were noted at Rs 5,800 to Rs 5,825 per maund, equivalent to Rs 55,200 to Rs 55,400 per candy. Haryana saw slightly lower rates, ranging from Rs 5,700 to Rs 5,800 per maund, i.e., Rs 54,200 to Rs 55,200 per candy.

Upper Rajasthan reported the lowest rates, with prices from Rs 5,400 to Rs 6,000 per maund, i.e., Rs 51,400 to Rs 57,200 per candy. Meanwhile, Lower Rajasthan observed a minor increase in spot delivery prices, escalating to Rs 58,000 per candy.

Market experts anticipate that the future trend of cotton prices in the domestic market will largely depend on movements in the global market. Additionally, the seasonal demand from spinning mills and the pace at which multinational companies offload their Kapas stocks will play critical roles in determining price stability or volatility in the coming weeks.




(CommoditiesControl Bureau; +91-9820130172)