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CCI to set up 23 cotton procurement centers in WarangalThe government is offering a minimum support price (MSP) of Rs 7,020 per quintal for long-staple cotton and Rs 6,620 per quintal for medium-staple cotton.Cotton Corporation of India (CCI) officials are preparing to set up 23 cotton procurement centers in the district, and operations are expected to begin in the first week of November. These centers are located within cotton ginning mills and market yards, including the Enumamula Agricultural Market Yard.The government is offering a minimum support price (MSP) of Rs 7,020 per quintal for long-staple cotton and Rs 6,620 per quintal for medium-staple cotton. To ensure quality standards, farmers were asked to ensure that the moisture content of cotton should not exceed 8 percent.Cotton Corporation of India (CCI) officials are preparing to set up 23 cotton procurement centers in the district, and operations are expected to begin in the first week of November. These centers are located within cotton ginning mills and market yards, including the Enumamula Agricultural Market Yard.The government is offering a minimum support price (MSP) of Rs 7,020 per quintal for long-staple cotton and Rs 6,620 per quintal for medium-staple cotton. To ensure quality standards, farmers were asked to ensure that the moisture content of cotton should not exceed 8 percent.The marketing department has proposed to set up 23 cotton purchasing centers in the district. Of these, 18 will be located in the Warangal Enumamula agricultural market, while two will be located in the Nekkonda and Vardhannapet agricultural markets. Additionally, a center will be set up in Narsampet market. The Government has approved the operation of centers on the premises of cotton ginning mills.To ensure comfort and convenience of farmers, ginning mill owners have been advised to provide basic facilities like tents, chairs and drinking water at each cotton procurement centre. Besides this, information boards will be set up to inform farmers about support price and moisture content.An important change this season is the implementation of a new payment system for farmers selling their cotton at these procurement centres. Farmers are advised to link their bank accounts with their Aadhaar card, as purchases will be made only from those who have successfully linked their accounts. CCI will credit the funds directly into the bank accounts linked to Aadhaar card through Aadhaar Enabled Payment System (ABPS) and Public Financial Management System (PFMS).With all preparations, cotton procurement will start from the first week of November. Furthermore, the introduction of help desks at these procurement centers aims to provide assistance to farmers in the new payment system. It is important for farmers to link their bank accounts with Aadhaar and carry their Aadhaar cards while visiting the centers to ensure smooth transaction process.Prasad Rao, district officer, marketing department, Warangal, stressed the importance of adhering to quality standards at these procurement centers to get the government support price. It is said that cotton was cultivated in 1.22 lakh acres and the estimated yield is 7.34 lakh quintals. Meanwhile, the price of cotton stood at a maximum of Rs 7005 per quintal on Monday at Enummulla Agricultural Market Yard, where traders bought the cotton. Farmers hope that after the CCI center becomes operational, they will get at least MSP.Source: Telangana Today

This evening, the rupee closed at Rs 83.25 against the dollar with a weakness of 1 paise.Today the stock market closed with a rise. Today Sensex closed at 64112.65 points with a gain of about 329.85 points. Whereas Nifty closed at the level of 19140.90 points with a gain of 93.60 points.

Vietnam's fibre exports foresee positive signalsVietnam is the world's sixth-largest fibre exporter and the world's third-largest exporter of textiles and garments - just behind China and Bangladesh.Latest statistics from the General Department of Customs showed that, by the end of the third quarter of 2023, fibre exports earned 3.2 billion USD with more than 1.3 million tonnes of goods exported abroad, up 9.3% in volume but decreasing 13.8% in value compared to the same period last year.Regarding the market, in September, fibre exports to China reached 77,459 tonnes worth more than 203 million USD, down 18.8% in volume and down nearly 20% compared to August 2023.Overall, in the first nine months of the year, Vietnam exported 647,862 tonnes of fibre to the Chinese market and earned more than 1.71 billion USD, up 18.1% in volume but down 2.1% in value over the same period last year. The export price reached 2,652 USD per tonne, down 17.1% compared to the same period in 2022.The Republic of Korea (RoK) is the second-largest export market of Vietnamese fibre. In September, fibre exports to the RoK reached 10,898 tonnes with a value of more than 30 million USD, an increase of 0.6% in volume and an increase of 2.8% in value compared to August 2023. Overall, in the first nine months of the year, fibre exports to this market reached 101,880 tonnes and earned more than 284 million USD, down 5.78% in volume and 24.2% in value compared to the same period in 2022. The average export price reached 2,788 USD per tonne, down 19.65% over the same period in 2022.The US market ranked third. In the first nine months of 2023, Vietnam exported 75,483 tonnes of fibre to the US with a value of more than 108 million USD, down 13.8% in volume and 29.4% in value over the same period. The average export price reached 1,443 USD per tonne, down 17.5% over the same period in 2022 and less than half the export price to China or the RoK.In the first half of this year, business results of Vietnamese fibre industry enterprises have shown signs of clear improvement as the price of cotton raw materials has decreased significantly compared to the first half of 2022 and demand from the market has increased significantly, and demand from the Chinese market has increased again.Member of the Board of Directors, General Director of the Vietnam Textile and Garment Group (Vinatex) Cao Huu Hieu said that the market trend in the fourth quarter of 2023 had positive changes when the Fed did not raise interest rates in September but postponed it to the end of the year.The US and Chinese markets recovered well, the purchasing managers' index (PMI) of these two markets were both above 50 points (higher than forecast). EU inflation in September also decreased by 4.3% and in September Vietnam's export turnover of goods increased by 4.6% compared to the same period in 2022."Particularly for the fibre industry, the price of cotton put into production in the third and fourth quarters of 2023 is currently approaching the market price and is lower than the first six months of the year, helping the fibre industry be more effective," said Hieu.Vinatex representative also said that the overall market demand in 2024 is likely to improve compared to 2023, although the improvement is small as the total demand in 2024 is expected to still be 5-7% lower than 2022. The fibre industry may have unexpected developments due to the application of stricter policies. However, Vinatex still proposes a scenario that the fibre industry in 2024 will increase by 10% compared to 2023 due to the increased equipment mobilisation rate based on the forecast cotton price of 2.5-2.6 USD per kilo.In addition, demand for common textile and garment industry products will increase in the last quarter of the year to serve festivals, so export activities of fibre enterprises are expected to be more vibrant, according to Hieu.

Pakistan cotton weekly Review: Rates rise amid speculations about productionA good increase of up to Rs 2,000 per maund was witnessed in the price of cotton, and the spot rate also increased by Rs1000 per maund.Pakistan Cotton Ginners Association has appealed to Chief of Army Staff and Caretaker Chief Minister of Punjab to save the farmers and ginners from loss.They should give directions to Trading Corporation of Pakistan (TCP) to purchase one million bales of cotton immediately. However, despite the promise, the government is not buying cotton through the TCP.The meeting of Cotton Crop Assessment Committee is convened every year for correct assessment of cotton production. However, sources said that this year up till now this meeting has not been convened. The total production of cotton is; however, expected to be around 90 lac bales.Commercial and industrial organisations are protesting against the sudden increase in gas prices. Karachi Chamber of Commerce and Industry has termed the unsustainable hike in gas rates as the last nail in the coffin of the industry.However, in the local cotton market, the price of cotton saw a significant increase due to the increase in the purchase of quality, as well as, low quality cotton by textile spinners during the last week. The prices witnessed an increase of Rs 15,00 to Rs 2,000 per maund. The spot rate also witnessed an increase of Rs 1,000 per maund. Obviously, the rate of Phutti also increased along with the rate of cotton.Due to the statements from government side to buy cotton through the TCP at the rate of Rs 8,500 per 40 kg fixed by the government, cotton farmers have became cautious in selling their produce. However, textile spinners have started storing quality cotton due to news of its low availability. Analysts believe that quality cotton prices are unlikely to come down in near future.There is a recession in demand and prices of cotton yarn and textile products in local and international markets. Payments are also a big issue, especially in the local market due to the financial crisis. According to sources of textile spinners, cotton yarn is barely sold, but they are facing difficulties in payments.There are still speculations about cotton production in the country. Federal Committee on Agriculture has set a revised cotton target of one Crore and fifteen Lakh bales. While market sources are estimating that cotton production will be around 80 to 90 Lakh bales. Every year a meeting of all stakeholders is called for the assessment of the cotton production but it is surprising why this meeting is being delayed this year.Apart from this, the long-standing promise of buying Phutti at the price of Rs 8,500 per 40 kg fixed by the government through TCP is not being fulfilled while the farmers have already sold about 80-85% of their Phutti.In the last few days, two caretaker ministers of Punjab province complained to the government in a press conference that the federal government is delaying the purchase of cotton through the TCP. It is not clear what is behind this.The rate of cotton in Sindh is in between Rs 15,000 to Rs 18,800 per maund while the rate of Phutti is in between Rs 6,500 to Rs 7,700 per 40 kg.The rate of cotton in Punjab is in between Rs 16,000 to Rs 18,000 per maund. The rate of Phutti is in between Rs 6,700 to Rs 8,700 per 40 kg.The rate of cotton in Balochistan is in between Rs 15,000 to Rs 16,000 per maund and the rate of Phutti is in between 7,000 to Rs 9,000 per 40 kg. The Spot Rate Committee of the Karachi Cotton Association increased the spot rate by Rs 1,000 per maund and closed it at Rs 17,000 per maund.Chairman Karachi Cotton Brokers Forum Naseem Usman has said that a bullish trend prevails in international cotton markets. The rate of Future Trading of Cotton remained 84.38 American cents.According to USDA’s weekly export and sales report, one Lakh and eighty six thousand and hundred bales were sold for the year 2023-24.China was at the top by buying 98,500 bales. Bangladesh bought 44,900 bales and came second. Vietnam bought 22,900 bales and ranked third.

Sebi extends suspension in certain commodity derivatives till December 2024The market regulator has extended the suspension in trading in certain commodity derivatives till December 2024.The Securities and Exchange Board of India (Sebi) on December 19, 2021 had issued directions to stock exchanges having commodity derivatives segment to suspend trading in derivative contracts in the commodities--paddy, wheat, chana, mustard seeds and its derivatives, soya bean and its derivatives, crude palm oil and moong—for a year.This was done on inflation concerns, around the time of a few state elections. That November wholesale inflation had spiked to 14.23 percent.  The index had remained in double digits for eight consecutive months beginning in April, mainly because of surging prices of food items.Thereafter, the suspension was extended for one more year, beyond December 2022, to December 2023.A latest press release from Sebi on the extension of the suspension said, “In continuation of the said directions, the suspension in trading in the above contracts has been extended for one more year beyond December 20, 2023 i.e. till December 20, 2024.”In 2022, a team of researchers from IIM Udaipur, Jindal School of Government and Public Policy and Universidad Carlos III de Madrid had written that banning derivatives in the segment is futile.They wrote, “ there is no evidence that derivatives trading led to higher prices or that the suspension had any effect in bringing down price variability. Rather, the decline in price levels was observed across all oils, irrespective of their derivatives trading status.  Price surges are typically rooted in the underlying demand and supply factors, as observed in earlier studies.”The researchers added, “The Report of the Expert Committee on Integration of Commodity Spot and Derivatives Markets (2018) also argued that outright bans erode the confidence of participants in the domestic derivatives markets. Evidence from past suspensions shows that once a contract is banned or suspended, it is difficult to bring back trading activity to even the pre-ban levels once the ban is revoked. Market participants have an easy choice to hedge their risks on international exchanges, where no such regulatory uncertainty exists.”

The Cotton Corporation of India (CCI) has begun registering farmers for cotton procurement for the current season across Vidarbha.Registration is being conducted at 33 procurement centres spread across eight districts—Akola, Amravati, Buldana, Chandrapur, Nagpur, Wardha, Washim, and Yavatmal. Farmers can enroll at these centres to sell their produce under the government procurement system.For this season, CCI has announced a guaranteed Minimum Support Price (MSP) of ₹7,020 per quintal for long staple cotton and ₹6,620 per quintal for medium staple cotton.District-wise, the procurement centres include seven in Akola, two in Amravati, five in Buldana, three in Chandrapur, two in Nagpur, six in Wardha, two in Washim, and six in Yavatmal. These centres operate under the Akola divisional office, while arrangements for other cotton-growing districts are being managed by the Aurangabad division.Actual procurement is expected to begin only after Diwali this year. Due to delayed rains, sowing was pushed back, and the cotton season has not yet fully commenced. Currently, picking is limited to areas where sowing took place earlier, around May or June.Market prices remain subdued, with new cotton trading between ₹6,500 and ₹6,700 per quintal, while old stock is fetching around ₹7,200. Farmers are closely monitoring price trends, as their selling decisions will depend on how rates behave once arrivals increase.In recent years, government procurement had slowed due to favourable open market prices. However, if market rates remain low this season, a shift back towards CCI procurement is likely.

Tamil Nadu government approves six mini textile parksThe Tamil Nadu government has so far approved setting up of six mini textile parks in the State and eight more are awaiting approval.Textile Commissioner, Tamil Nadu government, M. Vallalar, told The Hindu that there are at least 100 expression of interest received for the scheme. “We have given life to the scheme that was dormant since 2015. It will start gaining momentum now,” he said.The scheme offers 50 % or ₹2.5 crores subsidy to develop common facilities in a mini textile park. The park can come up on minimum two acres and with just three units. The stakeholders should identify land, form a special purpose vehicle, and submit a detailed project report. Across the State, about 20 DPRs have been received for the scheme. “There are eight project from in and around Madurai. In Coimbatore, the slowdown has affected the textile industry and hence the response is gradually picking up,” he said.Coimbatore District Collector Kranthi Kumar Pati held a meeting with industry representatives here on Wednesday, October 26, to explain details of the scheme. Officials, who were part of the meeting, said the scheme earlier mandated requirement of 10 acres and 10 industries. This has been reduced now. Textile spinning mills will require more space and hence, the scheme will benefit those in the post-spinning operations, such as weaving, garmenting or finishing. If the park is set up in backward blocks of the district, the units can avail of capital subsidy from the MSME Department. Some of the weaving units in Annur area have evinced interest, they added.

Stable trend on Pakistan cotton marketThe local cotton market on Thursday remained steady and the trading volume remained satisfactory.Cotton Analyst Naseem Usman told Business Recorder that the rate of cotton in Sindh is Rs 15,000 to Rs 17,500 per maund. The rate of Phutti in Sindh is in between Rs 6,500 to Rs 8,200 per 40 kg. The rate of cotton in Punjab Rs 15,500 to Rs 18,000 per maund and the rate of Phutti in Punjab is in between Rs 7,500 to Rs 8,700 per 40 kg. The rate of cotton in Balochistan is Rs 15,500 to Rs 16,000 per maund while the rate of Phutti is in between Rs 7,500 to Rs 9,000 per 40 kg.The Spot Rate remained unchanged at Rs 17,000 per maund. Polyester Fiber was available at Rs 350 per kg.

This evening, the rupee closed at Rs 83.23 against the dollar with a weakness of 5 paise.Today the stock market closed with a decline. Today the Sensex fell by about 900.91 points and closed at the level of 63148.15 points. Whereas Nifty closed at the level of 18857.30 points with a fall of 264.90 points. Due to this decline, today the market cap of the stock market has reduced by about Rs 6 lakh crore.

The bullish trend continues in Pakistan cotton marketThe spot rate committee of Karachi Cotton Association (KCA) on Wednesday increased the spot rate by Rs 400 per maund and closed it at Rs 17,000 per maund. The local cotton market remained bullish and the trading volume was satisfactory.Cotton analyst Naseem Usman told Business Recorder that cotton rates in Sindh range from Rs 15,000 to Rs 17,500 per maund. The rate of footi in Sindh is between Rs 6,500 to Rs 8,200 per 40 kg. The rate of cotton in Punjab is Rs 15,500 to 18,000 per maund and the rate of cotton in Punjab is Rs 7,500 to 8,700 per 40 kg. The rate of cotton in Balochistan is between Rs 15,500 to Rs 16,000 per maund while the rate of cotton is between Rs 7,500 to Rs 9,000 per 40 kg.The spot rate committee of Karachi Cotton Association on Wednesday increased the spot rate by Rs 400 per maund and closed it at Rs 17,000 per maund. Polyester fiber was available at Rs 350 per kg.Source: Business Recorder

Cotton, soya rates upset farmersNagpur: The Dussehra ‘muhurat’ deal for cotton — a symbolic gesture to mark the beginning of the buying season — has come as a dissappointment for farmers. The opening rate offered to growers is between Rs 6,800 and Rs 7,000 a quintal, which is slightly below minimum support price (MSP) of Rs 7020 fixed for long staple cotton.Cotton is the main crop for farmers in most parts of Vidarbha with soyabean being the second most popular one.Soyabean is fetching up to Rs 4800 a quintal — barely above the MSP of Rs 4600. The rate is still better than what farmers received last year. However, large tracts of farmlands are affected by the yellow mosaic virus this year, thus bringing down the yield.Dussehra marks the beginning of harvest/selling for farmers. While cotton bales start reaching the market around this time, soyabean comes a little early. No doubt, the current rates have proved a dampener for growers ahead of the Diwali season.On Wednesday, Shetkari Swabhiman Paksha leader from Buldhana, Ravikant Tupkar, announced his plan to tour all districts of Vidarbha and Marathwada to mobilise farmers for a massive protest. “The rally would end at Shegaon in Buldhana on November 20. If the demands are not met by then, a massive agitation will be held across the state,” he said.Tupkar wants the state to announce loan waiver for farmers. As per his own calculations, cotton must get at least Rs 12,000 a quintal and soyabean Rs 10,000 for the farmers to make profits.Vijay Jawandhia, a veteran farm activist from Wardha, said cotton has fetched around Rs 6,800 while soyabean is getting Rs 4800. However, the yield this year is abysmally low due to yellow mosaic virus attack. There are reports of per acre harvest coming down to barely two quintals. Cotton harvest is also expected to be below expectation, Jawandhia said.Traders says the actual picture will be clear as the buying season proceeds. A trader at the Hinganghat market yard of Wardha district said cotton arrival is very less at present. “There are reports of some non-irrigated fields giving poor yield of cotton. By the time rates improve, a large number of farmers may end up selling their produce,” said the trader.Piyush Bothra, a dealer in farm inputs in Maregaon in Yavatmal, said farmers are talking about pests other than pink bollworm which causes significant damage to the cotton crop.Manish Jadhav, a farmer from Yavatmal, said traders buying cotton directly from the field are offering as low as Rs 6500 a quintal. Some soyabean farmers may not get more than a quintal per acre.