Cotton Association of India (CAI) kept its prediction for the cotton crop production for the 2022–2023 season at 311.18 lakh bales, causing Cottoncandy to close yesterday’s trading session up 0.07% at 60800. According to a CAI statement, 307.05 lakh bales of cotton were produced overall during the most recent cotton season.
The CAI has assessed the opening stock at 24 lakh bales at the start of the season, bringing the overall supply of cotton for the period from October 2022 to July 2023 to 332.30 lakh bales, which includes arrivals of 296.80 lakh bales, imports of 11.50 lakh bales, and other factors.
In Punjab, arrivals were roughly a third lower in 2021–2022 than they were the year before. The arrival of cotton in Punjab for the 2022–23 marketing season has been estimated at 8.7 lakh quintals so far this year, compared to 28.89 lakh quintals for the entire 2021–22 marketing season.
For 2023–2024, the USDA’s weekly export sales report revealed net sales of 277,700 running bales of cotton, with growth predominantly for China. Gujarat’s cotton farming has broken all previous records during this Kharif season, marking an impressive milestone. In stark contrast to the diminishing trend seen in other major cotton-producing states, the state’s farmers have successfully planted cotton across a vast 26.64 lakh hectare area.
The price finished at 29233.5 Rupees, a decrease of 0.06 percent, in Rajkot, a significant spot market. Technically, the market is being shorted as open interest decreased by -2.09% to settle at 375 while prices increased by 40 rupees. Cotton candy is now receiving support at 60500, and a move below that level could result in a test of the 60200 levels. Resistance is now most likely to be seen at 61000, and a move above that level could result in a test of the 61200 levels.
