Rains delay cotton arrival in markets in Punjab, Haryana

Cotton arrival in Punjab and Haryana has not picked up due to last weak's rains and only 25,000 bales of cotton have reached markets so far, much less than the arrivals in the corresponding period last year.

Markets in Punjab and Haryana had witnessed arrival of whopping 70,000 bales of cotton at this stage last season.

"The main reason behind slow arrival of cotton crop is the rains, which lashed the northern region last week. Apart from it, late sowing is also another factor which caused less arrival at this point of time," Northern India Cotton Association President Rakesh Rathi said today.

 

Heavy rains last week have raised concerns of damage to cotton crops in both the states. Experts point out seed germination of crop nearing harvesting stage could have damaging effect on cotton balls during rains. 

Yet traders expect the cotton arrivals to pick up in both states as cotton growers are keen to take advantage of high prices of cotton crop.

"Prices at this point of time are quite lucrative for farmers and they want to bring as much crop to markets as they can in order to fetch higher prices," they said.

Punjab and Haryana this year brought 5.30 lakh hectares and 4.74 lakh hectares under cotton crop respectively. Punjab is eyeing cotton output of 22.76 lakh bales while Haryana is targetting 18.90 lakh bales.

The rate of unginned cotton is ruling at Rs 3,500-3,900 per quintal, which is quite higher than the rate of Rs 2,500-2,700 a quintal in corresponding period of last year.

The price of ginned cotton is varying between Rs 3,590-3,650 per maund (37.324 kg).