Cotton prices increased by Rs 1,600 a quintal at the Bhoodapady Regulated Marketing Committee sales on Wednesday and Thursday as mills placed huge orders with traders.
Mr Arumugasamy, a cotton trader from Madurai, said: “We are in need of cotton now, as we have received huge orders from spinners. So we are quoting higher price and there is heavy competition at the Bhoodapady Regulated Marketing Committee”.
He said that due to rain in North India traders opt to buy cotton here.
In the Bhoodapady Regulated Marketing Committee, 8,000 bags arrived on Wednesday and the sale continued till Thursday.
On Wednesday, 3,000 bags of Bt cotton were sold at Rs 4,400-5,640 up Rs 940 from last week.
On Thursday, 5,000 bags arrived. They were sold at Rs 5,640-6,300, up Rs 1,600 than last week.
Similarly, at the Anthiyur Regulated Marketing Committee, the MCU-5 and Surabi varieties fetched Rs 4,750-5,020 and the Ct Cotton was sold at Rs 4,400-4,800 a quintal. Buyers said that in both the places, they were able to get quality cotton
The higher price will spur farmers to bring more cotton next week.
“Further, we brought only fine variety cotton to the market for sale,” said a grower
Mr Subramani, Superintendent of the Bhoodapady Regulated Marketing Committee, said that the arrival of cotton has almost doubled and the demand was high. Hence, all the cotton that arrived were sold.
Due to heavy arrivals, the auction was held on Thursday too. He said from next week, 10,000 bags may arrive for sale and prices may also increase.