Textile Sphere News Roundup- 23 Nov 2024
1. Cotton Procurement Centres in Andhra Pradesh to Benefit Farmers
61 CCI Centres Operational
from Today, Extended Hours Announced
In a significant move to
support cotton farmers, 61 Cotton Corporation of India (CCI) procurement
centres in Andhra Pradesh, including 21 new operational sites, have begun
full-scale operations. The initiative, spearheaded by Union Minister Dr.
Pemmasani Chandra Sekhar, addresses delays and hardships faced by farmers.
Extended operating hours, from 7:30 am to 7:30 pm, aim to streamline
procurement, benefiting tenant farmers and expediting processes. Dr. Sekhar has
proposed extending operations until March 2025 to ensure every farmer's produce
is purchased.
2. Indian Cotton Prices
Stabilize After Seasonal Low
Market Sees Slight Recovery
Amid Weak Demand
Indian cotton prices reached
a seasonal low of ₹53,000 per candy but are now showing signs of marginal recovery,
thanks to MSP-driven procurement by the Cotton Corporation of India (CCI).
Daily cotton arrivals are up, but market challenges persist with weak yarn
demand, tight liquidity, and farmer reluctance to sell at current rates.
Experts suggest this may be an opportunity for millers, though a projected 7%
drop in output for 2024-25 adds pressure to the market.
3. Farmers in Telangana
Struggle Amid Cotton Price and Bonus Concerns
Harish Rao Criticizes State
Government’s Support Measures
BRS MLA T Harish Rao has
criticized the Telangana government for its failure to deliver a promised ₹500
bonus to cotton farmers, further exacerbating challenges in securing the ₹7,500
MSP. Addressing farmers in Khammam, Rao highlighted procurement inefficiencies
and accused the government of neglecting its obligations under schemes like
Rythu Bharosa. Rao also urged the establishment of Cotton Corporation of
India-backed procurement centres to support farmers effectively.
4. Cotton Output Decline
Projected Amid Weak Global Demand
CAI Estimates 7% Drop in
Production for 2024-25
The Cotton Association of India (CAI) forecasts a 7% decline in cotton production for 2024-25, with output estimated at 302 lakh bales compared to a consumption projection of 313 lakh bales. Farmers continue to hold back their produce, awaiting better prices, while weak global demand and declining ICE futures impact multinational purchases. Tight liquidity and subdued yarn demand are further dampening market recovery.
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