Cotton News: Big upheaval in cotton prices in March! What do experts predict?
By yash chouhan 2025-03-05 11:24:29
March Cotton Market Shock: Experts Predict Major Price Volatility!
Cotton News :- There has been a big stir in the cotton market in early March. At present, the arrival of cotton in the market is slow and the Cotton Corporation of India (CCI) has purchased a total of 94 lakh bales of cotton so far. However, there has not been much positive impact on cotton prices and the current price is still below the minimum support price.
Cotton prices are under pressure due to the continuous slowdown in the international market and stable demand in the domestic market. According to experts, there is little chance of any major improvement in cotton prices in March as well. Even though the country's total cotton production has declined, the country's cotton industry is also being affected by the low prices of cotton and yarn in the international market.
Currently, cotton prices are falling continuously in the international market. By noon, this rate fell by about 3 percent to 63 cents per pound. Due to this, American farmers are also trapped in the economic crisis, which is indirectly affecting the Indian cotton farmers.
Due to low prices, cotton imports are being boosted in the country, so there is no major bullish trend in the local market. According to experts' estimates, cotton prices are likely to fluctuate between Rs 100 and Rs 200 in March, but there is little chance of a stable and big increase.
The cotton season has now completed five months and so far 21.6 million bales have arrived across the country. The country's estimated total production is 30.1 million bales, out of which about 72 percent of cotton has already been sold by farmers. Now only 28 percent of cotton arrivals are left.
Due to a sharp decline in cotton production this year, farmers were likely not to get the expected price. However, due to the slowdown in the global market and low demand, prices have not increased much. Arrivals in the market are gradually decreasing, but there is pressure on prices.
Cotton market price situation in March
Usually, a decrease in cotton arrivals is seen in the month of March, which leads to improvement in prices. However, this year the situation is different. Currently, the average price of cotton in markets across the country is Rs 7,000 to Rs 7,300 per quintal. On an average, 90,000 to 1 lakh bales are arriving per day. Arrivals are likely to fall further in March, but it is not yet certain whether this will have a positive impact on price rise.
Cotton purchases made by CCI so far
The Cotton Corporation of India (CCI) has so far procured 94 lakh bales of cotton, of which 28 lakh bales have been purchased from Maharashtra alone. However, due to lack of expected demand from the industrial sector, CCI has had to buy about 43 per cent of the country's total cotton imports. Cotton prices have improved somewhat in the last three weeks, but there have been some obstacles in CCI's procurement process.
Therefore, CCI's purchases have slowed down in the last few days, which has benefited the open market. Therefore, farmers are now preferring to sell cotton in the open market. However, there are no signs that cotton prices will increase significantly in March, so farmers need to be cautious in their selling decisions.
