India: Cotton planting area increased 20% year-on-year. New cotton production is not a problem.

Summary:

As of July 14, India's cotton planting area reached 136 million mu, which was higher than the 111 million mu of the same period of last year, a year-on-year increase of 22.5%. Heavy rain covered the entire central India and caused floods. Some cotton fields may need to be replanted. At present, after the implementation of the new GST new tax system in India, the transaction volume of yarns has decreased, and the demand for cotton in the domestic market has been sluggish.

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India expects Indian cotton production to increase by 10-12% this year, which is likely to reach 6.46 million tons, which is higher than last year's 5.78 million tons. The lack of water in Maharashtra, Telangana, and Karnataka is not a problem and has no apparent effect on production.

According to the National Seed Association of India, India's soybean prices are lower than MSP this year, and cotton is one of the few crops with good yields. Therefore, the farmers who grow beans all over the country changed their cotton. At the same time, the sales volume of cottonseed this year increased by at least 10% year-on-year.

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