The Cotton Association of India (CAI) has revised up its 2024-25 cotton production estimates by 2 lakh bales, taking the total estimate to 304.25 lakh bales. The consumption estimate has been increased by 2 lakh bales on the back of increasing demand. Exports, primarily to Bangladesh, continue at a low pace. CCI holds a significant number of stocks, which is contributing to market stability.
The Cotton Association of India (CAI) has revised up its expectations for the 2024-25 cotton season, raising production and consumption estimates. Cotton production for the season is now projected at 304.25 lakh bales, two lakh bales higher than the earlier estimate. Production in North India is likely to decline by 3.5 lakh bales.
Cotton exports will mostly go to Bangladesh, but the pace of exports remains sluggish. As of January 22, the overall market arrivals crossed 156 lakh bales, with CCI purchasing over half of them. This indicates a balanced market where supply and demand dynamics are stable.