Cotton gains further in Lower Rajasthan on continued demand

NEW DELHI, June 28 (Commoditiescontrol) - Cotton prices gained further in the mandis of lower Rajasthan on Tuesday amid continued buying from mills, while no arrivals were reported today.

According to traders, only a limited quantity of balance stock of cotton is left with the mills of the state, while the arrival of the new crop will start only in September-October. As production of cotton has been etimated lower for the current season, the ginners are also not selling the bales by reducing the price. Therefore, there is little chance of a major fall in the current prices. According to the India Meteorological Department (IMD), during June 1 to June 27, East Rajasthan has received 10 percent less rainfall than normal. According to the state Directorate of Agriculture, till June 21, cotton has been sown in 5.21 lakh hectares in the state, which is less than 5.28 lakh hectares in the same period last year. The Directorate of Agriculture had set a target of sowing cotton in 8 lakh hectares in the current kharif season.

A mixed trend was seen in cotton and kapas prices in the domestic futures market today afternoon with April'23 futures contract of kapas on the NCDEX edged lower by 0.90 percent. While the July month cotton contract on the MCX climbed by Rs 410 at Rs 41,920 per bale (1 bale -170 kg).

In Alwar, Khairthal and Behror lines of the state, the price of 28.5 mm cotton was at Rs 87,000- 88,000 per candy (one candy - 356 kg).

In Mewar/Vijaynagar line, the price of 28 mm cotton was Rs 64,000 to Rs 66,000 per candy.

Cotton prices in Marwar line ranged from Rs 80,000 to Rs 82,000 per candy.

Cotton prices in Beawar line ranged from Rs 80,000 to Rs 82,000 per candy.

Cottonseed prices ranged from Rs 3,700 to Rs 3,800 per quintal in the state's mandis.

(By Commoditiesontrol Bureau: +91-22-40015505)