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India may witness a rise in cotton output this year
Published on: October 27, 2009 at 14:55
NEW DELHI (Commodity Online): India’s cotton production is seen unaffected by the recent erratic rains and ensuing flooding in the states of Andhra Pradesh and Karnataka as the industrial body said the yield for this year is expected to be higher as against previous year.

According to the Cotton Association of India, higher area under cotton cultivation is likely to offset the crop damages due to the erratic rains. The statement said the this crop year, which started October 1, will likely to yield 6.8% more cotton output to31.28 million bales of 170 kilograms each as compared to last year.

The area under the cotton cultivation is seen close to 10 million hectares this season.

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In August, the state-appointed Cotton Advisory Board had estimated the country's cotton output for 2009-10 at 30.5 million bales.

The association estimates total cotton availability in 2009-10 at 39.13 million bales including carryover stocks, while domestic consumption is expected at 25 million bales, leaving a surplus of 14.13 million bales.
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In India, gold is considered as one of the prestigious instruments of investment among the household consumers. Small household units are now becoming potential investors for gold from the key consumers. The demand for consumption purpose is no longer the main driver of demand for the yellow metal, but the systematic investments in retail gold investment options is the latest crush among the small investors in the country.
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