The Cotton Advisory Board (CAB) has estimated the production of cotton at 340 lakh bales, consumption of 270 lakh bales and exports at 81 lakh bales for 2012-13 season. The cotton season runs from October to September month and one bale equals 170 kg each. The prices of cotton remained stable and there have been no supply side disruptions as there is adequate cotton available in the country for domestic consumption.
The cotton production in the last season stood at 352 lakh bales and exports were to the tune of about 127 lakh bales. The cotton and cotton yarn markets are currently functioning in an orderly manner and there is no change in the present policy on hank yarn obligation. There is a mechanism to ensure adequate availability of hank yarn to handloom weavers at reasonable prices.
The existing hank yarn packing notification prescribes that every producer of yarn, who packs yarn for civil consumption, shall pack 40% of yarn in hank form on a quarterly basis and not less than 80% of the hank yarn packed shall be of counts 80s and below.
