Farmers in India shun cotton for other crops due to better incentives

Farmers have reduced area under cotton sowing this season in favour of some oilseeds in which they foresee better earnings. Cotton prices, despite a much lower crop as estimated by trade and industry, have not given them much returns in the last season. Lower cotton acreage and lower availability at a time when crude oil prices are falling is likely to raise […]

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Indian cabinet hikes MSP of Kharif crops for 2019-20 season

In a major boost to the farmers’ income, the Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi has approved the increase in the Minimum Support Prices (MSP) for all Kharif crops for 2019-20 Season. The move will lead to increased investment and production through assured remunerative prices to the farmers, an official […]

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Indian government pegs foodgrains production at 283.37 million tonnes in 2018-19

India’s foodgrains production in 2018-19 is estimated at 283.37 million tonnes which is higher by 17.62 million tonnes than the previous five years’ (2013-14 to 2017-18) average production of foodgrain, but lower than the 285 million tonnes foodgrains produced in the previous year, according to the third advance foodgrain estimates released by the Agriculture Ministry. […]

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Trade tensions and higher stocks add uncertainty to global cotton market

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The world cotton market faces continued uncertainty due to the escalating US-China trade war, with prices under additional pressure due to a projected increase in global stocks, the International Cotton Advisory Committee (ICAC) said in its latest monthly report. It said there is some hope that American and Chinese representatives might be able to de-escalate […]

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India to surpass China as world’s largest cotton producer: USDA

India will surpass China to become the world’s largest cotton producer in 2019-20 season, according to latest estimates from the US Department of Agriculture (USDA). India’s cotton production during the season is forecast to increase by 3-million-bales to 28.5 million bales, while China is likely to produce 27.75 million bales. One bale is equivalent to […]

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Indian cotton yarn margins may shrink 100-150 bps FY20: CRISIL

The operating margins of Indian cotton yarn spinners may shrink by 100-150 basis points (bps) in fiscal 2019-20 owing to lower cotton output, rising cotton prices and moderating demand, reversing the recovery seen the previous fiscal, according to rating agency CRISIL. That, however, is unlikely to materially affect the credit profiles of spinners, it said. […]

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