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LATEST NEWS UPDATES | CAI cuts cotton crop estimate for 2021-22 on lower yield, crop damages

CAI cuts cotton crop estimate for 2021-22 on lower yield, crop damages

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published Published on Jun 18, 2022   modified Modified on Jun 20, 2022

-The Hindu Business Line

Seeks extension in window for duty-free import shipments till December 31, 2022

Ahmedabad, June 18: Lower yield, unseasonal rains during the initial months of harvest coupled with the reduced acreage has led the cotton trade body, Cotton Association of India (CAI) to reduce its crop estimate to 315.32 lakh bales (each of 170 kg) for the season 2021-22. The latest crop estimate is about 12 per cent lower from its first estimate of 360.13 lakh bales at the start of the season in October 2021.

Speaking to Businessline, Atul Ganatra, President, CAI said, "The unseasonal rains in October 2021 caused damages to the crop. The yield has taken a hit because of that. Also, the sowing was less therefore there is a reduction in the crop estimates."

States that are impacted

CAI's May estimate for cotton crop of 2021-22 showed maximum impact in Gujarat (-4.24 lakh bales), Maharashtra (-2.46 lakh bales) and Telangana (-2.5 lakh bales). Also, the Centre's third advance estimates released in May 2022 projected reduction in crop size to 315.43 lakh bales, 13 per cent lower than first estimate of 362.19 lakh bales.

Amidst reduced cotton output estimates and surging prices, the trade bodies have also requested the Centre for extension in the window for duty-free import of cotton from September 30, 2022 to December 31, 2022.

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The Hindu Business Line, 18 June, 2022, https://www.thehindubusinessline.com/economy/agri-business/cai-cuts-cotton-crop-estimate-for-2021-22-on-lower-yield-crop-damages/article65539669.ece?fbclid=IwAR2quFq2tB5Jjavx09OMZFz5O7X8IouNhoQcgzsh0sUTCIZC1QfDdBAGQ


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