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Monday, January 14, 2013

India’s cotton yarn export registration at record levels
Investors should now start buying Textile Stocks
Soaring demand from regular importers like China and Bangladesh has led to a major hike in cotton yarn export registrations in India, which now prevail at two-year high levels.
According to a Business Standard report based on the Directorate General of Foreign Trade (DGFT) statistics, the exports registration authority received applications for exporting more than 100 million kg of cotton yarn in November 2012.
The quantity is 32 percent higher than the 76.36 million kg of cotton yarn exports registered in November 2011, and 5 percent above October 2012’s cotton yarn export registration of 94.46 million kg.
In April 2012, export registration was made for 62.81 million kg of cotton yarn, which grew to 82.42 million kg and 94.51 million kg in June and July, respectively. However, cotton yarn export registration dropped to 64.27 million kg by September.
However, with optimism backed by factors like burgeoning Chinese economy and indications of recovery in western economies, demand for textile goods is likely to shoot up in near future, which in turn would further push cotton yarn exports, the report said.
Meanwhile, the Textiles Ministry foresees a rise in production of cotton yarn during ongoing fiscal.
India produced around 3,126 million kg of cotton yarn during last fiscal, while its production for 2010-11 stood at 3,490 million kg and for 2009-10 at 3,079 million kg.

Courtesy: Fibre2fashion