In present situation market is going down everyday.Cotton finished 2011 as the worst-performing commodity market of the year, falling 37% from 2010 as record prices boosted output and decimated demand while a shaky global economy scared off investors.
Does anybody know why market is going down.!!.There is an expectation of moderate growth in demand from the high-end of the value chain--chiefly companies, which are into manufacturing of fabrics and garments.
Recent data released by the Directorate General of Foreign Trade show there is a sharp improvement of 76% in quantum of contract for export of yarn in the past one month to 76.3 million kgs in November on a sequential basis. With retail sales in the US improving, spinning mills are expected to benefit considerably.
“Prices are expected to decline further as there is a lot of uncertainty in the Tamil Nadu market,” says K.N. Viswanathan, secretary of the South India Cotton Association. Tamil Nadu is one of the largest consumers of cotton because of the large number of textile mills here.
Cotton declined by Rs 20-25 for a maund of 20 kg at Rs 800-855.Unlike last year, mills are not buying heavily, dragging cotton down said a Our broker.
Does anybody know why market is going down.!!.There is an expectation of moderate growth in demand from the high-end of the value chain--chiefly companies, which are into manufacturing of fabrics and garments.
Recent data released by the Directorate General of Foreign Trade show there is a sharp improvement of 76% in quantum of contract for export of yarn in the past one month to 76.3 million kgs in November on a sequential basis. With retail sales in the US improving, spinning mills are expected to benefit considerably.
“Prices are expected to decline further as there is a lot of uncertainty in the Tamil Nadu market,” says K.N. Viswanathan, secretary of the South India Cotton Association. Tamil Nadu is one of the largest consumers of cotton because of the large number of textile mills here.
Cotton declined by Rs 20-25 for a maund of 20 kg at Rs 800-855.Unlike last year, mills are not buying heavily, dragging cotton down said a Our broker.
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