Cotton Prices Softens in North Indian States Amid Weak Demand

New Delhi, April 19 (Commodities Control) Cotton prices witnessed a softening trend for the third consecutive day on Friday across the markets of North Indian states including Punjab, Haryana, and Rajasthan. This decline in prices can be attributed to the subdued demand from spinning mills, coupled with an increase in daily arrivals of cotton.

The ICE cotton futures prices reflected this downward trend, marking a decrease for the third day in a row. In the May-24 futures contract, prices weakened by 1.46 cents to 78.1 cents, while the July-24 futures contract saw a decrease of 0.72 cents to 80.61 cents. Similarly, the December-24 futures contract recorded a decline of 1.13 cents to 77.41 cents. Today, cotton prices in electronic trading of ICE displayed a mixed trend.

Traders noted that cotton prices have remained weak in the international market over the past three days, leading to a corresponding decline in domestic prices. With this trend in cotton prices globally, the prospect of profitable exports is dim, prompting mills to adopt a cautious approach. Moreover, the weak demand for cotton yarn further suppresses the possibility of a significant uptick in cotton prices. Alongside Kapas, prices of cottonseed remained stable in these states.

The arrival of Kapas in the producer mandis of Punjab, Haryana, and Rajasthan totaled 4,000 bales, with each bale weighing 170 kg, marking a slight decrease from the previous working day's arrival of 4,200 bales.

In the mandis of Punjab and Haryana line, Kapas prices were quoted at Rs 6,600 to Rs 6,900 per quintal, while in Upper Rajasthan line, prices ranged from Rs 6,700 to Rs 7,000 per quintal. Additionally, the price of cottonseed stood at Rs 2,250 to Rs 2,500 per quintal in Punjab and Haryana line and Rs 2,350 to Rs 2,700 per quintal in Upper Rajasthan line.

Today, the domestic futures market also witnessed a declining trend in cotton prices. In the April-24 futures contract on NCDEX, Kapas prices weakened by Rs 12 to Rs 1,449 per 20 kg. Simultaneously, cotton prices in the May-24 futures contract on MCX saw a decrease of Rs 80 to Rs 57,500 per candy.

Spot delivery prices of cotton in various regions were as follows:
- In Punjab: Rs 5,725 to Rs 5,825 per maund (i.e., Rs 54,600 to Rs 55,100 per candy).
- In Haryana: Rs 5,675 to Rs 5,775 per maund (i.e., Rs 54,100 to Rs 55,100 per candy).
- In Upper Rajasthan: Rs 5,450 to Rs 5,950 per maund (i.e., Rs 52,000 to Rs 56,700 per candy).
- In Pilani, Rajasthan: Rs 5,450 to Rs 5,950 per maund for spot delivery.
- In Lower Rajasthan: Cotton prices for spot delivery rose from Rs 57,400 to Rs 57,600 per candy.




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