The forecast for cotton year (2006-07) beginning August has been revised to 4.25 million bales of cotton exports from 2.50 million bales, said US department of agriculture (USDA).

Due to the higher imports by neighbouring China, India is all set to report a record 3.25 million bales of cotton exports in the just concluded cotton year (2005-06) ending July. The US department of agriculture (USDA) clarified that the forecast was revised as Chinese imports of Indian cotton surged from a total 2.10 million bales in cotton year 2004-05, to 2.25 million bales through June of 2005-06.

However India’s exports to other markets including Taiwan, Thailand and Turkey showing a significant increase in recent months and has been second leading supplier of cotton to China after the US.

The average production in 2004-05 and 2006-07 is estimated 60 percent above the average of the three previous years in India and the increase is largely attributed to higher yields, better cultural practices including a dramatic increase in Bt cotton acreage.

Further it is a known fact that despite large exportable supplies, India will continue to import longer-staple and higher quality medium-staple lengths from the US.