rakes war
TRANSCRIPT
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Cotton was an essential staple fabric, which was needed in almost every
work of life.
Cotton is one of the principal crops of India and is the major raw material for
domestic textile industry.
The Indian Cotton Industry provides sustenance to millions of farmers as
also the workers involved right from processing to trading of cotton.
In 1854, James Landon established the Broach Cotton Mill, which was the
first successful cotton mill in Bombay.
In 1856, the first steam-driven cotton mill also went for production.
Government of India in October 1861 issued a waste lands order for the
purpose of encouraging the growth of cotton.
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The Indian textile industry consumes a diverse range of fibers and
yarn, but is predominantly cotton based.
By 1883, seventy-nine cotton industries were in operation, as
Bombay took the industrial lead.
The Government of India had liberalized raw cotton exports since
July 2001.
Exports of cotton from the country are under Open General License
(OGL) since July 2001.
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The average national yield has been almost doubled to 560 kg per hectare,
climbing from around 300 kg per hectare as recently as 2008/09.
Today Cotton crop contributes about 14 16% to the total agricultural-crop
in India.
India has the largest area cotton cultivation with 9 million hectares in the
world constituting 26% of total world cotton area.
60 million people including 4.5 million farmers in India are depended on
cotton production to earn their livelihood.
About 60% of India's current season shipments have gone to China, the
world's biggest consumer. The CAB expects India to begin the 2010-11 year
with opening stocks of 4.05 million bales, down over 43% on a year ago.
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Market
Capitalization
It contributes about 14% to the industrial
production, 4% to the GDP and 14.42% to the
country's export earnings.
Geographical
Distribution
Punjab, Haryana, Rajasthan, Maharashtra, Madhya
Pradesh, Gujarat. Andhra Pradesh, Karnataka and
Tamil Nadu
Percentage in World
Market
India presently produces 4.59 million tonnes ofcotton with 27 million bales of 170 kgs each which
constitutes 18% of the world cotton production
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YearQty. (in lakh bales of
170 kgs each)
Value (in Rs. crores)
2006-07 58.00 5267.08
2007-08 88.50 8365.98
2008-09 35.00 3837.13
2009-10 83.00 9578.20
2010-11 49.50 NA
Cotton Exports from India
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CHINA P RPBANGLADESH
PRPAKISTAN IR KOREA RP TURKEY other
2008-2009 173,782.63 184,102.05 43,244.88 63,866.71 40,530.72 916,903.28
2009-2010 588,781.22 213,639.47 113,334.39 109,998.79 83,128.12 1,053,414.17
0
100000
200000
300000
400000
500000
600000
700000
800000
900000
1000000
1100000
Valuein
Rs.
Lakh
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Year Production (lakh bales) Consumption
by mills
Export
(As per DOCD) (As per CAB)
2004-05 137.88 179.00 150.39 12.11
2005-06 170.02 243.00 163.98 9.14
2006-07 189.27 241.00 180.10 47.00
2007-08 240.40 280.00 194.89 58.00
2008-09 243.14 307.00 217.21 88.50
2009-10(E) 258.25 290.00 210.00 35.00
(Lakh bales of 170 kg. each)
DOCD - Directorate of Cotton Development, Ministry of AgricultureCAB - Cotton Advisory BoardE - Estimated by Cotton Advisory Board
Source: http://www.txcindia.com
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COTTONCARDED
COTTONSEWNGTHRED
COTTONYARN
WOVNFIBRES OFCOTTON
2006-07 1,026.77 1,013.52 584.34 512.3
2007-08 12,875.01 7,923.04 3,892.97 4,305.412008-09 3,153.88 10,605.00 8,429.64 5,341.63
2009-10 14,267.68 13,947.48 9,983.45 10,698.38
02,0004,0006,0008,000
10,00012,00014,00016,000
Values
in
Rs.
Lacs
Export performance of cotton product
Source: commerce.nic.in/eidb/ecom4.asp?hs=52
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0
5,000
10,000
15,000
20,000
25,000
2005-06 2006-07 2007-08 2008-09 2009-10
Valuesin
Rs
.Crores
Year
Export performance of cotton
Source: commerce.nic.in/eidb/ecom4.asp?hs=52
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HSCode Commodity 2009-2010 percentage
5201 COTTON, NOT CARDED OR COMBED 938,875.44 43.42
5202 COTON WAST(INCL YARN WAST & GRNTED STOCK) 14,320.53 0.66
5203 COTTON CARDED OR COMBED 512.3 0.02
5204 COTON SEWNG THRED W/N PUT UP FOR RETL SALE 4,305.41 0.2
5205 COTN YRN(OTHR THN SWNG THRD)CNTNG 85% OR
MORE BY WT OF COTON NT PUT UP FR RETL SALE
731,445.42 33.82
5206 COTON YRN(OTHR THN SEWNG THRD)CONTNG COTON 5,341.63 0.25
5207 COTTON YARN(OTHER THAN SEWING THREAD) PUT UP
FOR RETAIL SALE
22,549.85 1.04
5208 WOVN FBRCS OF COTON CONTNG>=85% BY WT OF
COTON WEGHNG NT MORE THN 200 G/M2
277,760.58 12.85
5209 WOVN FBRCS OF COTTON, CONTNG >=85% COTN BY WTWEIGHING>200 GM PER SQM
113,973.00 5.27
5210 WOVN FBRCS CONTNG
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43%
1%0%
0%
34%
0% 1%
13%
5%
0%
1%
2%
Total export percentage in various cotton products
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General rate of Central Excise Duty is reduced from 10% to 8%.
Rate of Service Tax on taxable services is reduced from 12% to 10%.
According to textile industry, cotton price in India are currently at all time
record high in spite of a bumper crop of 295 lake bales during cotton year2009-10(oct-dec).
Shankar-6 which our standard cotton was being sold at around `23000 a
candy (355kg) at the beginning of the year, but it is now being sold at `38000
a candy and is scarcely available even at this price the current price is more
than 50% higher than the minimum support price fixed by govt. and the pricesare increasing every day.
Export policy for cotton has been changed from restricted to free earlier
this year and the stipulation license for export has been withdrawn.
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!!!