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In early trade, the rupee advances 4 paise to 83.62 against the US dollar.The rupee appreciated 4 paise to 83.62 against the US dollar in early trade on Tuesday, ahead of the Budget presentation.Forex traders said the local currency gained strength as crude oil prices and the American currency retreated from their elevated levels. Moreover, foreign fund inflows also supported the rupee.Read More :> Less than average rainfall in Bhiwani, crisis on Kharif cultivation

The rupee finished at 83.66 versus the dollar this evening, unchangedNow talking about equity benchmark indices, the BSE Sensex is currently down 102.57 points or 0.13 percent at 80,502.08 and the Nifty 50 is down 21.65 points or 0.62 percent at 24509.25.Read more :- Less than average rainfall in Bhiwani, crisis on Kharif cultivation

Bhiwani's below-average rainfall and the dilemma affecting Kharif farmingThere is a flood situation in many states of the country, but this time Haryana and especially Bhiwani have received less than average rainfall. An average of 40 mm of rain has not been recorded in Bhiwani district so far. Due to this, farmers are worried about sowing and people are troubled by humidity and heat.Agricultural scientists believe that pollution is the reason for less rainfall. According to the data of the Meteorological Department, clouds are not raining here. There has been fluctuations in the weather for the last one week. Along with the increase in temperature, humidity has also increased. Dr. Devi Lal, scientist of Krishi Vigyan Kendra, said that the activity of monsoon had increased in the last week of June, but till now there has been no rain in all parts. Due to this, farmers may face problems in sowing and production of Kharif crop.Pulses crop is sown in about 25 thousand acres in Bhiwani district, which is completely dependent on rain. The area under Guar is also large, but due to lack of rain, farmers are reluctant to sow Guar. Meteorologists say that Bhiwani is a desert area, where farmers are dependent on rain. Farmers are producing some crops by irrigating them with the help of tube wells and bore wells.So far, Bhiwani district has not received rain as expected. Farmers are busy sowing Kharif season crops. The Agriculture Department has prepared a possible target for Kharif sowing and every effort is being made to achieve it.Read More :>Heavy rain damages cotton crop in Jalgaon

Jalgaon's cotton harvest is harmed by heavy rain.Due to heavy rains, crops have suffered heavy damage in many areas of Jalgaon. Heavy rains caused drains to burst along the Vadgaon road in Gram Panchayat Adavad and flooded the fields, washing away cotton crops and drip pipes.485 women of Bhagwati caste group of Adavad had cultivated cotton in five acres near Vadgaon road, in which drip irrigation was used. Due to heavy rains at night two-three days ago and lack of sewerage system, all the water entered the field. Due to the strong flow of water, the cotton and drip line of Bhagwati Caste field were completely washed away. Due to a hole in the tubewell, the casing opened and the tubewell also broke to a depth of eight to ten feet, causing a loss of lakhs of rupees.This situation has been seen in many parts of Jalgaon, where drains and water cesspools burst due to heavy rains and flooded the fields, causing extensive damage to the cotton crop. Farmers have suffered huge financial loss due to this damage and they are now waiting for help from the government.Read More :>DGFT, Customs Process Overhaul, Textile PLI Scheme Revamp, QCO Suspension to Aid Exports: GTRI

DGFT, Redesign of the Textile PLI Scheme, QCO Suspension to Promote Exports: GTRIThe Global Trade Research Initiative (GTRI) has recommended several measures to boost India’s garment exports. These include suspending quality control orders (QCO) on polyester and viscose staple fibre to allow domestic manufacturers to become more competitive, expanding product coverage and relaxing criteria in the textile production linked incentive (PLI) scheme, overhauling Directorate of Foreign Trade (DGFT) and Customs procedures, and addressing monopolistic practices of domestic suppliers.GTRI highlighted that complex procedures, import restrictions, and domestic vested interests are hindering the growth of India’s garment export sector. The think tank identified sourcing quality raw fabric, particularly synthetic fabric, as a major challenge for exporters.This report gains importance as India continues to lag behind other countries in garment exports despite a steady rise in textile imports. In 2023, China led with $114 billion in garment exports, followed by the EU with $94.4 billion, Vietnam with $81.6 billion, Bangladesh with $43.8 billion, and India with only $14.5 billion. “This shows India significantly trails behind,” said Ajay Srivastava, co-founder of GTRI.Between 2013 and 2023, Bangladesh’s garment exports grew by 69.6%, Vietnam’s by 81.6%, while India’s exports rose by only 4.6%. Consequently, India's global market share in garment trade has declined. The share of knitted apparel dropped from 3.85% in 2015 to 3.10% in 2022, and non-knitted apparel decreased from 4.6% to 3.7%.Srivastava pointed out that QCOs have undermined the MMF supply chain’s competitiveness by limiting access to affordable and specialized raw materials. The Bureau of Indian Standards is slow in registering foreign suppliers, forcing exporters to buy from domestic monopolies at higher prices. Unlike exporters in Bangladesh and Vietnam, who can easily access quality imported fabrics, Indian exporters face daily struggles due to high import duties and complex DGFT and Customs procedures. These challenges force exporters to meticulously account for every inch and type of fabric imported.Between 2018 and 2023, garment imports rose by 47.9%, while India’s textile imports increased by 20.86%.GTRI also noted that firms obtain advance authorisations from DGFT for importing duty-free inputs for export production. The DGFT currently requires that unutilised authorisations be surrendered with a non-utilisation letter/certificate from Customs, which increases transaction costs.Read More :> Gujarat Textile Traders Set 100-Day Payment Limit Amid New Tax Regulations

In early trade, the rupee gains 5 paise versus the US dollar, reaching an all-time low of 83.65. The rupee recovered from its all-time low level and appreciated by 5 paise to 83.65 against the US dollar in early trade on Monday, as the American currency retreated from its elevated level. Forex traders said foreign fund inflows and possible intervention by the Reserve Bank of India (RBI) supported the rupee at lower levels and restricted the downfall. Read More :> Kharif Sowing Insights: Paddy and Pulses Surge, Cotton Declines Amid Monsoon Revival

Kharif Sowing Insights: Cotton Drops During Monsoon Revival, Paddy and Pulses SoarEarly kharif sowing gains have slowed to under 4% as the planting season nears its end, despite recent improvements in the monsoon. Paddy acreage has increased significantly, while cotton planting has dropped for the first time in years. Soybean and oilseed sowing also show positive growth, though nutri-cereals face a decline. Arhar and pulse sowing have surged due to favorable market conditions.Kharif Sowing Progress: Early gains in kharif sowing have narrowed to under 4%, compared to over 10% a week earlier. This shift is attributed to the nearing end of the main planting window.*Monsoon Revival:* The revival of the monsoon, influenced by a low-pressure system in the Bay of Bengal, is expected to enhance sowing activities, particularly in states with previously deficient rainfall.Sowing Statistics: As of July 19, kharif sowing covers 704.04 lakh hectares (64% of the normal area), up by 3.5% from last year. The normal kharif area is 1,096 lakh hectares.Paddy Acreage: The area under paddy has increased to 166.06 lakh hectares, showing a 6.7% rise from 155.65 lakh hectares last year. Key producing states are expected to improve sowing rates with better rainfall.Cotton Sowing Decline: Cotton acreage has decreased to 102.05 lakh hectares, down by 3.4% from 105.66 lakh hectares last year. Declines are noted in Punjab, Haryana, Rajasthan, and Gujarat.Soybean Coverage: Soybean acreage has reached 119.04 lakh hectares, nearing the normal area of 123 lakh hectares. This is a 9.2% increase from 108.97 lakh hectares last year.Oilseed Area: The total area under oilseeds has risen by 8.1% to 163.11 lakh hectares from 150.91 lakh hectares last year, with groundnut showing a 12.6% growth.Read more :- Cotton Purchase Centres by October: Government Assures Court

Gujarat Textile Traders Set 100-Day Payment Limit Amid New Tax RegulationsIn a significant shift for the textile industry, traders in Gujarat are gearing up to implement new payment norms following the introduction of Section 43B(H) of the Income Tax Act. This change has prompted a collective move to reduce credit periods, with most traders agreeing to cap the payment cycle at 100 days, down from the previous 180-day window.The transition, however, is not without its challenges. Many traders express concern over the difficulty of immediately adopting the government-suggested 45-day payment cycle. As a compromise, the industry has opted for a phased approach, starting with the 100-day limit.Gaurang Bhagat, president of Maskati Kapad Market Mahajan, highlighted the rationale behind this move: "We've witnessed an uptick in fraud cases within the textile sector over recent years. The extended payment cycle of up to 180 days has been a significant factor in these fraudulent activities. By reducing the credit period to under 100 days, we aim to mitigate this risk."*The industry is also taking additional steps to safeguard against fraud. Naresh Sharma, secretary of the Maskati Mahajan, revealed that traders have been advised to work exclusively with registered brokers. "This measure will allow us to provide assistance in case of defaults," Sharma explained. He added that traders have been encouraged to ensure their brokers are properly registered.This proactive approach by the textile trading community demonstrates a commitment to adapting to regulatory changes while simultaneously addressing long-standing issues within the industry. As the sector navigates these new norms, the impact on business operations and fraud prevention will be closely watched by industry observers and policymakers alike.READ MORE :> Cotton Purchase Centres by October: Government Assures Court

Textile Exports Affected by Container ShortageAhmedabad: Textile deliveries are facing disruptions due to a shortage of containers and increased freight costs, affecting both domestic and export orders.Denim exporters are grappling with a backlog of shipments, with around 500 containers of fabric ready for export but stuck in warehouses due to the shortage. Yarn manufacturers are experiencing similar issues.Industry experts note that the inability to deliver past orders is preventing new ones from coming in. Vinod Mittal, a denim manufacturer in Ahmedabad, stated, “The denim industry saw a revival in the last quarter of FY24, but the situation has been challenging since then. There is steady offshore demand, but we are unable to export due to container issues. Consequently, the demand for godowns to store stock has increased, as have their rents. Until we deliver earlier orders, we cannot secure new ones.”Industry estimates indicate that the denim sector alone has seen a stockpile of around 500 containers (20 tonnes each) in Gujarat. This has reduced capacity utilization of units to 60-70% from around 90% three months ago.“Exporters are unable to ship their manufactured goods due to the unavailability of containers. As a result, godowns available for hire are in high demand, which attracts additional costs at a time when payment cycles are stretched. This is causing a working capital shortage for manufacturers,” explained Kumar Agarwal, another denim manufacturer in Ahmedabad.Jayesh Patel, senior vice president of the Spinners' Association Gujarat (SAG), added, “Exports have become costlier due to the Red Sea crisis. Additionally, shipping companies get better pricing from China, so they prefer taking containers from there. This has reduced the availability of containers here and affected our competitiveness in the global market. We are seeing higher stockpiling with full godowns, and payment rotations have been affected.”Read more :-Area Under Cotton in North India Drops by 6 Lakh Hectares, Punjab’s Dip Sharpest

October Cotton Purchasing Centers: Government Guarantees CourtNagpur: On Thursday, the central government assured the Nagpur bench of the Bombay High Court that it will open cotton procurement centres for farmers by October and expedite the release of any pending dues.This assurance was given during a hearing in response to a Public Interest Litigation (PIL) filed by Shriram Satpute from Grahak Panchayat Maharashtra Sansthan. Satpute sought directives for the central and state governments to commence cotton procurement before the Diwali festival and ensure payments are deposited into farmers’ accounts within seven days.He argued that delays in opening procurement centres force farmers to sell their produce to traders at prices below the guaranteed minimum support price (MSP), causing financial losses.The High Court had previously instructed both governments to submit data on payments made to cotton-selling farmers within seven days of purchase at government-run procurement centres. Additionally, both were asked to explain any delays in payments.On Wednesday, the central government explained that payment delays occurred because transactions are directly deposited into farmers’ Aadhaar-linked bank accounts. These transactions are routed through the Akola head office of the Cotton Corporation of India (CCI) for the Vidarbha region.The judges then sought a comprehensive reply from the State Textile Department’s principal secretary and the CCI, detailing the number of payments released to farmers after procurement. The central government’s representative informed the court that all efforts were being made to streamline the payment process and ensure timely disbursement.The High Court granted a final opportunity for the Union government’s textile ministry secretary and CCI to file their responses regarding the procurement and payment issues. The petitioner emphasized the importance of timely establishment of procurement centres and prompt payments to safeguard farmers’ interests and prevent exploitation by traders.Read More :> Area Under Cotton in North India Drops by 6 Lakh Hectares, Punjab’s Dip Sharpest

This evening, the rupee ended the day 7 paise weaker, at 83.65 against the US dollarAt the close of trading, the BSE Sensex rose 626.91 points or 0.78% to close at 81,343.46. The NSE's 50-share index Nifty rose 187.85 points or 0.76% to close at 24,800.85.Read more :- Area Under Cotton in North India Drops by 6 Lakh Hectares, Punjab’s Dip Sharpest