Although there has been a continuous decline in the global production of cotton, India remains one of the few countries, which continues to maintain an optimistic outlook on cotton production for this financial year.

According to an Apparel Export Promotion Council (AEPC) report, the global production of cotton is expected to stand at 102.7 million bales during thecurrent financial year. The report also added that the decline in cotton production is due to slow recovery from the global financial crisis and the sudden hike in food prices that drifted the cotton farmers from growing cotton to food grains and other crops.

Global scenario

“It is expected that cotton production may further decline in some countries that are major producers,” says Anuj Kumar, manager of Excel Limited, a small-sized cotton exporter in Surat.

Cotton production in China is expected to hover around 31.5 million bales in 2009-10,which is a 14% decline as compared to 2008-09. The cotton cultivators in China have decided to reduce the acreage of cotton by 13% to 5.2 million hectares since the previous year due to high cost involved in cotton production, unavailability of labourers and attractive financial assistance provided to producers of food grains.

In the current crop year, the plantation of cotton in Brazil will continue and is expected to reach the peak between December and January, which are the key months for plantation of the commodity, despite a 2% drop in cotton production witnessed in the previous crop year. Cotton production in the US is expected to stand at 12.6 million bales in 2009-10, thereby declining by 2% as compared to the previous financial year.

Optimistic outlook

“With farmers preferring grain cultivation, there has been a significant drop in the production of cotton in some of the major cotton producing countries. However, there has been a positive impact on some cotton producing countries such as India and Pakistan, which still continue to cultivate cotton,” says Shakti Exporters, a small-sized cotton exporter in Jalandhar, Punjab.

During 2009-10, cotton production in India is expected to touch 23.8 million bales, a surge by 5% as compared to the previous financial year, while in Pakistan the same increased to about 9 to 9.8 million bales, thereby soaring by 9%.

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Article Source: ArticlesBase.com – Cotton production in India to rise

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