By Our Staff Reporter | MUMBAI
MAR. 18 — The cotton issues plaguing us 10 years back still continue to haunt us, opined Mr. Mohit Shah, Director - Gill & Company Private Ltd and Associate Director, International Cotton Association, here.
Addressing the Cotton India 2019 Conference on ‘Global Opportunities and Challenge in Cotton – Weaving the World of Cotton Together’ organised by Cotton Association of India (CAI), Mr. Shah pointed out that other cotton growing countries have been working hard to improve cotton characteristics while India is going backwards as our parameters are deteriorating.
The value of Indian Bale, Mr. Shah said, has been eroding when compared to US, Brazilian and Australia among other in the export market. The basis levels and comparative spreads are widening between Indian and other origin cottons. Indian cotton is discounted by 5 to 6 cents to US, 3 to 4 cents to Brazilian and 2 to 4 cents to WAF, he added.
As Indian textile industry is maturing, one can witness a shift to procuring foreign origin cotton during buying decision, which is similar to what one witnesses in the the export market today, Mr. Shah said. Mr. Shah listed out 8 challenges faced by Indian cotton which included:
Continuous improvement in ginning, Bale identification system and data management, High moisture content, Improve bale packaging; Branding of Indian cotton, High inland costs, Problem of admixtures – Makes grading and testing difficult with mills compelled to engage expensive bale management to maintain yarn quality and Twin problems of contamination levels – discounted value for supply chain and textile industry keeps discounting to other origins.
He also list out struggles of cotton yield which included:
* Although yields increased over a decade, but long-term trend worrisome
* Still well below world average
* We can blame weather or blame inter-crop competition
* But assuming blame misses the point need to identify what’s going on in the farm
* Predominance of rainfed area major hindrance
* Almost 60% of are rainfed exposing productivity to monsoon vagaries.
* Lack of irrigation facilities, but tremendous scope to increase
* High density planting system needed to achieve higher yields.
* Need better seeds to address both quality/yield
* Joint efforts and research involving private and public sector needed to find quick solution and;
* To meet current demand and address demand growth for the future value chain.
(Source: Tecoya Trend)