Indian textile mills may import 12 lakh bales of cotton in 2011-12, estimates Cotton Advisory Board

NEW DELHI: The Indian textile mills are likely to import 12 lakh bales of cotton in the current season (October-September), as per the estimates of the Cotton Advisory Board.

“The Cotton Advisory Board (CAB) has estimated cotton imports in 2011-12 season (ending September 30, 2012) at 12 lakh bales, including short staple cotton,” Textile Minister Anand Sharma said in a written reply in the Lok Sabha.

In July this year, the prices of the natural fibre crossed world cotton prices, making the imports of other varieties of the natural fibre more economical.

The availability of international credit finance at lower interest rates, savings in the carrying cost for textiles mills, higher yarn realisation and better quality cotton, are some of the other reasons for the increasing natural fibre imports of India.

So far in the ongoing season, 4.8 lakh bales of natural fibre have been imported. In the 2010-11 year, the natural fibre imports stood at 5 lakh bales.

Responding to a question whether there is a severe shortage of cotton in the country, Sharma said, “There is no acute shortage of cotton in the country. As per the estimates of the CAB closing stock is expected to be at 28.46 lakh bales (for 2011-12) which account for more than 30 days of inventory for textiles mills.”