India's cotton export to rise on output, prices
Reuters, New Delhi
India, the world's third largest cotton producer, is expected to nearly double its exports in the year to September 2006 because of a record crop and lower prices, traders said Tuesday.They said the country is likely to sell more than 2 million bales of 170 kg each during the crop year compared with an estimated 1.2 million bales last year. "Our crop is excellent and we are cheaper than many countries like the US and Pakistan," said a leading dealer in Ahmedabad, the main city of the largest producing Gujarat state. "This year we have a good export opportunity." Traders said a big chunk of Indian cotton is expected to hit the Chinese market. "Chinese demand is growing and they are likely to buy more from India," said one New Delhi-based trader. He said India is expected to sell close to 1 million bales of cotton to China, up from around 300,000 to 400,000 bales last year. The balance would go to traditional markets like the Middle East, Bangladesh, Japan and Hong Kong.
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