The Cotton Association of India (CAI), a body of traders, has reduced its estimate of the cotton crop last season (October 2020- September 2021) to 353 lakh bales (each 170 kg) from its previous estimate of 354.5 lakh bales. The final estimate is about 7 lakh bales lower than the 360 lakh bales of crop estimated initially.

The total cotton availability for the year is estimated at 488 lakh bales, including an opening stock of 125 lakh bales and import of 10 lakh bales besides the 353 lakh bales of crop.

As per the CAI’s cotton balance-sheet for the year, the closing stock is estimated to be 75 lakh bales, which is lower than last year’s estimated 107.5 lakh bales of carryover stock.

Consumption estimate

CAI has increased its cotton consumption estimate for the year by 5 lakh bales to 335 lakh bales from last year’s estimated consumption of 250 lakh bales, showing an increase of 34 per cent over last year.

The cotton exports for 2020-21 is estimated at 78 lakh bales against 50 lakh bales estimated last year, which is a 56-per cent higher.

The Cotton trade body has reduced the crop estimate for the Central Zone (Gujarat, Maharashtra and Madhya Pradesh) by 2.50 lakh bales to 191 lakh bales from earlier estimate of from 193.50 lakh bales. There is a reduction of 2 lakh bales in the crop estimate for Gujarat while the crop estimate of Maharashtra has been reduced by 0.50 lakh bales compared to the previous estimates.

The crop estimate for North Zone is retained at 65.5 lakh bales, while that for Southern Zone has been increased by 1 lakh bales to 91.5 lakh bales for the season based on the arrivals upto September 30.

The final estimates were finalised by the Crop Committee of the CAI which met on October 18 with 25 members from cotton-producing States and stakeholders.