US Cotton Gains Ground in India as Prices Fall, Tariff Doubts LoomSECTIONSUS cotton exports to India rise on lower prices, tariff uncertaintiesReutersLast U.S. upland cotton exports to India have risen in the past few months fueled by global tariff conflicts, declining American prices and rising demand in the South Asian country, industry experts said.xports to India from February to April jumped to 155,260 running bales, from 25,901 shipped during a year ago period, according to the U.S. Department of Agriculture's (USDA) data. The exports hit an over 2-1/2-year high in the week of February 20.The increase comes as Washington-Beijing trade tensions escalate, reducing U.S. cotton exports to China. China will impose 125% tariffs on U.S. goods, up from the 84% previously announced, the finance ministry said on Friday.With these tariffs and a drop in China's demand, upland cotton grown in Texas and other regions is now finding a market in India, according to Ajay Kedia, director of Kedia Advisors.At the same time, exports to China are expected to decrease, said Justin Cardwell, head of research and technology at Alternative Option.India is the world's second-largest cotton producer after China, as well as one of the world's largest cotton yarn processors and exporters. However, declining yields have recently turned the country from a net exporter to a net importer of the fibre.India mainly imports Extra Long Staple (ELS) cotton from the U.S., benefiting from a 10% duty exemption, unlike short staple cotton which has an 11% import duty."The U.S. ELS cotton remains cost-effective for many Indian buyers due to its higher ginning efficiency, better lint yield, and superior fibre quality," said Kedia.The Cotton Association of India (CAI) this year lowered its cotton production estimate by 250,000 bales to 30.1 million bales, marking a 7.84% drop from the 2023-24 season.ICE cotton futures have dropped nearly 5% so far this year.India could see a cotton shortfall of 2.5 million bales this year, a gap that could be bridged with increased imports, said Y. G. Prasad, director of Central Institute for Cotton Research.India's cotton imports in 2024/25 are expected to double due to falling production, according to the CAI. India also imports cotton from Australia, Brazil, and Egypt.read more :-Rupee opened 20 paise higher at 85.48
Rupee gains ground, opens 20 paise up against dollar at 85.48Indian rupee opened 20 paise higher at 85.48 per dollar on Thursday versus Wednesday's close of 85.68.read more :-Why did Bangladesh suspend yarn imports from India through land ports
Bangladesh Halts Indian Yarn Imports via Land Ports Amid Smuggling ConcernsMove : Bangladesh has suspended yarn imports from India through land ports (such as Benapole, Bhomra, Sonamsajid etc.).Reason : The domestic yarn industry was suffering losses due to cheap Indian yarn.Background :* India recently withdrew transshipment facility for Bangladesh.* In February, Bangladesh textile mill owners and the Tariff Commission had sought action against cheap yarn.* Allegation: Yarn imported from India comes cheaper and often at lower declared prices, affecting the domestic yarn industry.Impact:* Domestic yarn usage will be boosted.* But this may lead to raw material costs and procurement delays in the textile industry.* This is not the first time: Bangladesh has previously taken steps to reduce dependence on India for products like potatoes and onions.read more :-Indian Rupee lower 7 Paisa, Ends at 85.68 per Dollar
Rupee lower by 7 Paisa, Ends at 85.68 per DollarThe Indian rupee on wednesday lower 7 paise to close at 85.68 per dollar, while it opened at 85.61 in the morning.At close, the Sensex was up 309.40 points or 0.40 percent at 77,044.29, and the Nifty was up 108.65 points or 0.47 percent at 23,437.20. About 2561 shares advanced, 1244 shares declined, and 129 shares unchanged.read more :-USDA Announces 2025 Cotton Loan Rate Differentials
WASHINGTON, April 15, 2025-The U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation announced the 2025-crop loan rate differentials for upland and extra-long staple cotton.The differentials, also referred to as loan rate premiums and discounts, were calculated based on market valuations of various cotton quality factors for the prior three years. The Commodity Credit Corporation adjusts cotton loan rates by these differentials so that cotton loan values reflect the differences in market prices for color, staple length, leaf, extraneous matter, micronaire, length uniformity and strength. This calculation procedure is identical to that used in past years.The 2025-crop differential schedules are applied to 2025-crop loan rates of 52.00 cents per pound for the base grade of upland cotton and 95.00 cents per pound for extra-long staple cotton. The 2018 Farm Bill stipulates that the loan rate for the base quality of upland cotton ranges between 45 and 52 cents per pound based on the simple average of the Adjusted World Price for the two marketing years immediately preceding the next crop planting. However, the established loan rate cannot be less than 98% of the preceding year’s established loan rate. Along with USDA’s Agricultural Marketing Service classing (quality) measurements, these differentials are used to determine the loan rate for each individual cotton bale.These differentials are important to cotton producers because they are used to derive the actual loan rate for each bale of cotton – above (premium) or below (discount) the average per pound loan rate, depending on the grade or quality of the cotton. The actual loan rate is significant because it is used to determine any marketing loan gains and loan deficiency payments.read more :- China appoints new top trade negotiator amid US tariff war
China Names New Trade Chief Amid U.S. Tariff ClashChina appointed as its new trade negotiator on Wednesday a former representative to the World Trade Organization who replaces Vice Commerce Minister Wang Shouwen, amid an escalating tariff war with the United States.Li Chenggang, 58, a former assistant commerce minister during the first administration of U.S. President Donald Trump, takes over from Wang, 59, the human resources and social security ministry said in a statement.The change comes as Beijing pursues a hardline stance in an intensifying trade war with Washington triggered by Trump's hefty tariffs on items imported from China.Li, who has held several key jobs in the commerce ministry, such as in departments overseeing treaties and law and fair trade, has an academic background in the elite Peking University and Germany's Hamburg University.He replaces Wang, a veteran commerce official and top trade negotiator since 2022.In the leadup to the U.S. tariff escalation, Wang welcomed foreign executives in Beijing, some from PepsiCo, Visa, P&G, Rio Tinto and Vale, reassuring them of China's economic prospects.The step came after official data showed foreign direct investment plummeted 27.1% in local currency terms in 2024 on the year, for its largest such drop since the 2008 global financial crisis.read more :-Rupee opens 16 paise higher at 85.61 against dollar
In relation to the US dollar, the rupee opens 16 paise higher at 85.61.The rupee opened 16 paise up on April 16 after retail inflation dropped to over a five-year low in March and easing of dollar, as the market goes into wait-and-watch mode on the US tariff action.read more :- Monsoon Rain: This year it will rain heavily! IMD said that monsoon rain will be above average in 2025
IMD Predicts Above-Average Monsoon Rainfall in 2025The Indian Meteorological Department on Tuesday released the monsoon forecast for this year. In its forecast, the IMD has predicted above average monsoon rainfall this year. The National Meteorological Department said that it expects monsoon rainfall to be at least 105 percent of the Long Period Average (LPA). According to the Indian Meteorological Department, there is a high possibility that the seasonal rainfall of the southwest monsoon will be above normal or even more than normal.The Indian Meteorological Department (IMD) said that there is a 59% chance of above normal or very high rainfall in the country during the southwest monsoon this year. This forecast is being seen as a ray of hope for India's agrarian society and rural economy.According to IMD, the period between June to September is the monsoon season in India. The rainfall during this period is compared with the Long Period Average (LPA). The Meteorological Department said that if the rainfall is between 105% to 110% of LPA, then it is considered "above normal".Five categories of monsoon forecastIMD has divided monsoon rains into five categories:Very low rainfall (Below Normal): LPA- <90%Below average: LPA- 90-95%Normal: LPA- 96-104%Above normal: LPA- 105-110%Excess rainfall (Excess): LPA- >110%Of these, the probability of "above normal" or "excessive" rainfall is stated to be 59%, which is a better sign than last year.El Nino conditions will remain normalIMD also informed that El Nino conditions are expected to remain normal this year. El Nino is a global weather phenomenon that has a profound impact on the southwest monsoon. It occurs when sea surface temperatures rise in parts of the Pacific Ocean, disrupting seasonal patterns in many areas of the world.read more :-Rupee higher 7 Paisa Against Dollar, Closes at 85.77
Indian Rupee higher 7 Paisa, Ends at 85.77 per DollarThe Indian rupee on tuesday higher 7 paise to close at 85.77 per dollar, while it opened at 85.84 in the morning.The BSE Sensex surged 1,577 points, or 2.1%, to 76,734 while the Nifty50 climbed 500 points, or 2.19%, to settle at 23,328. Meanwhile, India’s Volatility Index (India VIX) dropped 17.23% to 16.64, reflecting improved risk appetite.read more :- Gujarat weaves strong textiles story, second in exports for 5 years straight
Gujarat has established a strong position in the textile industry, ranking second in exports for five consecutive yearsGujarat is making a significant comeback in India's textile exports, becoming the second-largest exporter with $5,749 million in 2023-24, closely following Tamil NaduAHMEDABAD : Gujarat is stitching a strong comeback in India's textile export map. Over the past five years, the state has emerged as the second-highest textile exporter in the country. While Tamil Nadu retained the top spot in 2023-24, Gujarat wasn't far behind with exports worth $5,749 million. Experts believe the state's new textile policy could soon tip the scales.State leading in textile exportWhile Gujarat has consistently maintained a strong presence in the cotton yarn and fabric segments, industry insiders say the state has yet to unlock its full potential in the global textile supply chain. Experts believe the newly launched textile policy could be the game-changer. By encouraging fresh investments, especially in garment manufacturing, it aims to turn the state into a global textile powerhouse. The policy focuses on integrated infrastructure, technical textiles and higher value-added production, which could strengthen Gujarat's position in coming years.A major export spike was seen in 2021-22, largely due to soaring cotton prices. But with cotton prices now stabilising at around Rs 53,500 per candy (356kg), manufacturers are looking at more predictable input costs and better long-term planning.In a reply to the Lok Sabha, Union minister of state for textiles Pabitra Margherita highlighted the Centre's push to boost the sector's competitiveness through key initiatives. These include the PM MITRA scheme for world-class textile parks and the production-linked incentive (PLI) scheme aimed at technical textiles and man-made fibre (MMF) segments.Rahul Shah, co-chairman of the GCCI textile taskforce, said Gujarat's rise began with the 2012 textile policy. "We have a strong edge in cotton yarn and fabric exports. While demand dipped in Europe due to the Russia-Ukraine conflict, Gujarat still has the capacity to grow," he said. He added that the global move to reduce reliance on China and Bangladesh could work in Gujarat's favour, especially as big brands explore new sourcing hubs post-Covid.read more :-Indian rupee opens 20 paise higher at 85.84 against US dollar
Rupee Opens Stronger, Gains 20 Paise to 85.84 Against US DollarThe local currency opened at 85.84 against the US dollar, as compared to 86.05 against the greenback in the previous trading session.The Indian rupee opened 20 paise higher on April 15 on some additional relief on tariffs and easing dollar index, currency experts said.read more :-Fabric of the industry frays: What Trump’s tariffs really mean for India’s textile sector
Trump's Tariffs: Impact on India's Textile IndustryThe textile and apparel industry is a significant contributor to India’s economy, contributing 2.3% to the country’s gross domestic product (GDP), 13% to industrial production and 12% to exports. The US and the European Union (EU) are the major destinations for India’s textile and apparel exports, accounting for a 47% share in India’s exports, as per a PIB release.An in-depth look at the numbers tells the facts on the ground. India exported textile items worth $34.4 billion in 2023-24, with apparel comprising 42% of the export basket, followed by raw materials/semi-finished materials at 34% and finished non-apparel goods at 30%. In fact, the US is the largest buyer of India’s textiles, accounting for nearly 28% or $10 billion.In this context, what do US President Donald Trump’s reciprocal tariffs of 26% imply for the textile sector, even though he announced a 90-day pause on Wednesday (April 9) for all countries except China?If the tariffs continue even after the break, what challenges or opportunities might arise for a sector that is the second-largest employment generator after agriculture?Sanket Desai, Indirect Tax Partner-Consumer Products and Retail, EY India, hints at a potential silver lining amidst the ongoing chaos. “The newly imposed US tariffs are expected to reshape the global textile trade landscape, potentially positioning India more favourably compared to its competitors. On the positive side, even higher tariffs on nations competing with India provide a competitive edge, potentially presenting an opportunity to increase its market share in the US. Thus, it may be a ‘blessing in disguise’ due to the relative tariff situation,” he states.Trump slapped higher tariffs on competitor countries in the segment, with Vietnam staring at a 46% tariff, Bangladesh 37%, China 34%, Cambodia 49%, and Pakistan 29%.Kumar Duraiswamy, Joint Secretary, Tiruppur Exporters’ Association (TEA), affirms that the scenario provides an edge for expanding business to the US. Making a reference to the man-made fibre (MMF) segment, he spoke of how the tariff enforced on Jordan holds us in good stead. “A lot of sportswear and handmade fibre goods were being exported from Jordan, which meant sourcing from China and Korea. But now tariffs have come upon them, too. At a time when India is eyeing MMF production in a big way, this presents a significant advantage for the textile industry,” he remarks.read more :-Tariff war: China says exports facing severe external situation but 'sky will not fall'
China Warns of Export Struggles, Says 'Sky Will Not Fall'Amid the ongoing tariff tension with the United States, a spokesperson for China's customs department said on Monday that the country is under "severe" pressure in its export sector but the situation is not catastrophic."At present, China's exports are facing a complex and severe external situation, but 'the sky will not fall'," the spokesperson said, according to news agency Reuters. He also said that China is "actively building a diversified market, deepening cooperation with all parties in the supply chain," and added, "The important thing is that China's domestic demand market is broad."The comments come a day after US President Donald Trump said no country would be exempt from tariffs. "No one is getting 'exempt'... especially not China, which treats us the worst by far!" he posted on his Truth social platform.Trump's administration has been engaged in a trade conflict with China, in which the two countries impose tariffs on each other's goods. US tariffs on Chinese imports have reached 145 percent, while China has responded with a 125 percent tariff band on US products.On Friday, the US eased some pressure by announcing temporary tariff exemptions for products such as smartphones, laptops and semiconductors, many of which come from China. These exemptions are expected to benefit US tech firms such as Nvidia, Dell and Apple, which make many of their products in China.However, President Trump and his aides made clear that these exemptions are not permanent. Trump said on Sunday that the move was being misunderstood and that his administration was working on new tariffs that could apply to recently exempted items. He said, "The tariffs will be imposed in the near future."Earlier, China's Commerce Ministry reacted to the exemption, saying the move was only "a small step" and urged the US to "resolutely cancel" its entire tariff policy.Meanwhile, Chinese President Xi Jinping warned on Monday during a visit to Vietnam at the start of his Southeast Asia tour that protectionist policies "will serve no purpose."In an article published in a Vietnamese newspaper, Xi called on the two countries to "resolutely safeguard the multilateral trading system, stable global industrial and supply chains, and open and cooperative international environment."He also reiterated China's stance that "there are no winners from a trade war and tariff war."read more :-Cotton- Production reduced and import requirement also doubled, loss in Maharashtra
Cotton Output Drops, Imports Double Amid Maharashtra LossBig news : This time the cotton season in India says a lot in terms of figures. On one hand, domestic production has decreased, on the other hand the need for imports has doubled and there has been a big decline in exports. All these changes can determine the direction of India's cotton market for 2024-25.Loss in Maharashtra, some relief from TelanganaThe Cotton Association of India has recently released its new estimate, according to which the total production of cotton in the country has now come down to 291.30 lakh bales. Earlier it was estimated to be 295.30 lakh bales. The biggest reason for this decline is Maharashtra, from where a loss of 5 lakh bales alone was recorded. This time in the state, neither the crop yield was good nor was the cultivation done as much as expected. Although an increase of 1 lakh bales has been registered from Telangana, but that too could not compensate for the loss.Imports reached 25 lakh bales by March itselfTo meet the domestic demand, India is now having to look towards foreign supplies. By the end of March itself, India had imported 25 lakh bales of cotton and it is estimated that this figure for the entire season can reach 33 lakh bales. Last year this number was only 15.20 lakh bales, meaning imports have almost doubled.This year India's total cotton supply, which includes both opening stocks and imports, has reached 306.83 lakh bales. But consumption is even more than that.read more :-Trump says 10% is tariff floor or pretty close, but there could be exceptions
Trump Suggests 10% Tariff Floor with Possible ExceptionsU.S. President Donald Trump on Friday said that 10% is a tariff floor, or pretty close, and that there could be a couple of exceptions. He also told that he thought something positive would come out with China“There could be a couple of exceptions for obvious reasons but I would say 10% is a floor,” Trump told reporters Friday evening aboard Air Force One en route to Florida. He didn’t elaborate on the “obvious reasons” or suggest any shift in his broader tariff policy.His remarks capped a volatile week for equity and bond markets and added fresh uncertainty for nations, investors, and businesses already grappling with his evolving trade agenda. Earlier in the week, Trump announced sweeping new tariffs on several countries—only to delay them just hours later, after financial markets reacted sharply amid fears that his import taxes could hurt the global economy.While China, the world’s second-largest economy, now faces a steep 145% levy, Trump is sticking to the 10% baseline rate for most other nations, as foreign governments scramble to negotiate favorable terms with the U.S.On Friday, markets rallied. The S&P 500 climbed 1.8%, capping its best week since 2023, boosted by a report that a Federal Reserve official signaled readiness to step in and stabilize markets if necessary. Yields on U.S. 10-year Treasuries retreated from their highs, t ..Still, recent market volatility shows little sign of abating, with concerns growing that Trump’s tariff-driven push to revive U.S. manufacturing and boost federal revenue could trigger recessions and erode America’s status as a global safe haven.Trump, however, downplayed those concerns on Friday. “I think the markets were solid today. I think people are seeing we’re in great shape,” he said. He also emphasized his confidence in the U.S. dollar, declaring it would “always” remain “the currency of choice.”“If a nation said we’re not going to be on the dollar, I would tell you that within about one phone call they would be back on the dollar. You always have to keep the dollar,” he added.He also dismissed recent Treasury market turbulence—something he had cited earlier in the week when adjusting his tariff timeline. “The bond market’s going good. It had a little moment but I solved that problem very quickly,” Trump said.Even with temporary relief for some trading partners, the sharply higher tariff on China is set to push the average U.S. duty rate to historic highs, according to Bloomberg Economics. The prolonged trade conflict between the world’s two largest economies ..In a tit-for-tat move, China on Friday raised tariffs on all U.S. goods to 125%, matching the new U.S. rate and layering it on top of an existing 20% tax. While Beijing said it wouldn’t mirror any further increases, it vowed to “fight to the end” with other unspecified countermeasures.“I think something positive is going to come,” Trump said Friday, when asked about the ongoing trade battle with China, describing President Xi Jinping as “a very good leader, a very smart leader.”read more :-Weekly Summary Report: Cotton Bales Sold by Cotton Corporation of India (CCI)
Weekly Cotton Bale Sales Report – CCICotton Corporation of India (CCI) conducted online bidding for cotton bales throughout the week, with the summary of daily sales being as follows:07 April 2025: Total 5,200 bales were sold, comprising 4,000 bales in Mills session and 1,200 bales in Traders session.08 April 2025: CCI recorded sales of 36,400 bales, comprising 14,600 bales in Mills session and 21,800 bales in Traders session.09 April 2025: Daily sales reached 4,900 bales, comprising 3,400 bales sold in Mills session and 1,500 bales in Traders session.11th April 2025: The week ended with the highest single-day sales of 1,83,500 bales, of which 79,300 bales were sold from Mills Session and 1,04,200 bales in Traders Session.Weekly Total: During the week, CCI sold 2,30,000 (approx.) cotton bales, successfully using its online bidding platform to streamline transactions and support trading.read more :-Free US imports by Asian peers will hit Indian cotton, yarn, textiles and apparel exports
| title | Created At | Action |
|---|---|---|
| US cotton exports to India rise on lower prices, tariff uncertainties | 17-04-2025 17:57:26 | view |
| Rupee opened 20 paise higher at 85.48 | 17-04-2025 17:21:00 | view |
| Why did Bangladesh suspend yarn imports from India through land ports | 17-04-2025 00:50:02 | view |
| Indian Rupee lower 7 Paisa, Ends at 85.68 per Dollar | 16-04-2025 22:41:59 | view |
| USDA Announces 2025 Cotton Loan Rate Differentials | 16-04-2025 18:54:43 | view |
| China appoints new top trade negotiator amid US tariff war | 16-04-2025 18:31:24 | view |
| Rupee opens 16 paise higher at 85.61 against dollar | 16-04-2025 17:31:00 | view |
| Monsoon Rain: This year it will rain heavily! IMD said that monsoon rain will be above average in 2025 | 15-04-2025 23:29:13 | view |
| Rupee higher 7 Paisa Against Dollar, Closes at 85.77 | 15-04-2025 22:48:55 | view |
| Gujarat weaves strong textiles story, second in exports for 5 years straight | 15-04-2025 18:07:37 | view |
| Indian rupee opens 20 paise higher at 85.84 against US dollar | 15-04-2025 17:15:14 | view |
| Fabric of the industry frays: What Trump’s tariffs really mean for India’s textile sector | 15-04-2025 00:56:52 | view |
| Tariff war: China says exports facing severe external situation but 'sky will not fall' | 14-04-2025 20:21:10 | view |
| Cotton- Production reduced and import requirement also doubled, loss in Maharashtra | 14-04-2025 17:35:21 | view |
| Trump says 10% is tariff floor or pretty close, but there could be exceptions | 12-04-2025 22:26:32 | view |
| Weekly Summary Report: Cotton Bales Sold by Cotton Corporation of India (CCI) | 12-04-2025 19:24:51 | view |
