Last week's trend in cotton prices continued as demand from mills dropped and arrivals increased. The price has come down by Rs 4,000 a candy in a week.

Cotton prices in last two weeks decreased almost Rs 4,000 to Rs 57,000-58,000 from Rs 61,000-62,000 a candy of 356 kg. Price of Sankar-6 raw cotton is Rs 1,100-1,350 for 20 kg based on quality. Maharashtra cotton traded at Rs 1,250-1,300 in Gujarat. About 25,000-27,000 bales arrived in Gujarat against 17,000-20,000 a day in March end days. From Maharashtra about 500 trucks arrive in a day. However, it is lower quality than Gujarat.

“In the last month, arrivals from Maharashtra was almost nil, with this, domestic arrivals were also slow but now position is changed as arrival from Maharashtra is now again started,” said Mr Dilip Patel, president of All Gujarat Ginners' Association. A Rajkot-based trader said, “Yarn mills have an overload of stocks so that they are not buying, moreover they are also expecting some more downfall in the price.” According to market sources, till March 31, cotton pressing in Gujarat reached 84.25 lakh bales, which was 79.42 lakh bales last year in the same period.

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