Cotton Prices Stable in North India Amid Limited Demand; Daily Arrival Decline

New Delhi, April 9 (Commodities Control): Cotton prices in the markets of North Indian states including Punjab, Haryana, and Rajasthan remained stable on Tuesday, influenced by limited demand from spinning mills. Meanwhile, daily arrivals saw a decrease in these states.

The ICE cotton futures experienced a mixed trend on Monday, with the May-24 futures contract rising by 0.4 cents to 86.65 cents, and the July-24 contract increasing by 0.57 cents to 88.39 cents. However, the December-24 contract witnessed a slight decrease of 0.11 cents to 82.54 cents. A similar mixed trend was observed in today's electronic trading of ICE cotton prices.

Traders noted that despite a price increase in North India on Monday, the mixed trend in ICE's electronic trading led to stability in domestic market prices, curbing purchases by spinning mills. Nonetheless, traders remain optimistic, not anticipating a significant drop in current cotton prices, as ginning mills find it unprofitable at lower price levels. Moreover, the remaining stock of Kapas is limited in these states, while local yarn demand is expected to persist.

Kapas prices saw a reduction of Rs 100 in these states, whereas cottonseed prices remained unchanged.

The daily arrival of Kapas in these states was reported at 4,800 bales (each bale weighing 170 kg), down from 5,000 bales on the previous working day. Kapas was priced between Rs 6,600 and Rs 6,900 per quintal in Punjab and Haryana, and between Rs 6,700 and Rs 7,000 per quintal in Upper Rajasthan. Cottonseed was quoted at Rs 2,200 to Rs 2,550 per quintal in Punjab and Haryana, and Rs 2,300 to Rs 2,650 per quintal in Upper Rajasthan.

The domestic futures market for cotton showed a mixed trend today, with Kapas prices in the April-24 futures contract on NCDEX dropping slightly by Rs 1.5 to Rs 1,519.5 per 20 kg.

Spot delivery prices varied across regions:
- In Punjab, prices were quoted at Rs 5,975 to Rs 6,000 per maund, equivalent to Rs 56,800 to Rs 57,100 per candy.
- Haryana reported cotton prices at Rs 5,900 to Rs 6,000 per maund, i.e., Rs 56,100 to Rs 57,100 per candy.
- Upper Rajasthan saw prices ranging from Rs 5,525 to Rs 6,150 per maund, i.e., Rs 52,500 to Rs 58,500 per candy.
- In Pilani, Rajasthan, cotton was similarly priced at Rs 5,525 to Rs 6,150 per maund.
- Lower Rajasthan experienced a slight increase, with prices rising from Rs 59,000 to Rs 59,200 per candy.



(CommoditiesControl Bureau; +91-9820130172)