MUMBAI: India’s cotton production in 2023/24 is likely to fall 7.5% from a year earlier to 29.5 million bales on lower planted area and as El Nino weather hit productivity, a leading trade body said on Tuesday.
Imports could rise to 2.2 million bales in the marketing year that started on Oct. 1, up from the last year’s 1.25 million bales, Cotton Association of India (CAI) said in a statement.
TEXTILES UNDER PRESSURE
BENGALURU: Indian textiles and leather goods maker Arvind on Tuesday reported a 36% fall in second-quarter profit, hurt by slow demand pickup in fabrics amidst inflationary pressure.
The company’s consolidated net profit fell to 800.1 million rupees ($9.6 million) for the quarter ended Sept. 30 from 1.25 billion rupees a year ago.
Textile companies have hit a rough patch due to low cotton arrivals, higher import duty and energy costs, and an inventory pile-up, analysts said.
Also, demand in the US and European markets has yet to rebound. Revenue at Arvind, which houses brands like Calvin Klein and Tommy Hilfiger, fell 11.4%, although expenses also declined 12% helped by lower raw material costs.
The company said revenues fell primarily on account of price deflation acting in tandem with lower input costs. Arvind’s profit in its core textiles division fell 17.3%, while that in its smaller segment, advanced materials, rose 13%.
The company saw low price realisations in its woven segment due to sluggish demand. During the quarter, key export markets saw muted demand as customers continued to be cautious.
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