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  • Recommendations for LDC cotton exporters on increasing exports to India

    Chapter 6 - Market profiles - India 

     
     
    African cotton producers need to have adequate knowledge of the requirements of the Indian cotton importers. They should know important factors such as the quality and quantity of cotton yarn production, domestic prices for each quality, and the demand for cotton yarn and textile products for domestic as well as export markets. All these factors have a major bearing on cotton purchase decision-making by Indian companies. Knowledge of the product mix of major cotton consumers in the Indian market is also very useful for cotton suppliers.

    Indian consumers, especially the export-oriented yarn manufacturers, garment manufacturers, weavers and spinners need consistency in fibre quality. Large Indian companies are ready to pay a premium for sourcing extra long staple cotton from LDC exporters provided the cotton supplied is free from any contamination.

    LDC exporters must also have a fair idea of the varieties of cotton produced in India and the varieties imported from other major suppliers of cotton. The cotton production cycle in India starts in October, and the arrival of cotton is at its peak from December to February in the domestic market. LDC farmers could target June to September, which are the lean months for cotton arrival.

    Domestic companies do not differentiate between foreign suppliers and Indian suppliers, as long as they are getting quality cotton as per their requirements at competitive prices. An overseas supplier can sell cotton to Indian mills either direct or through agents in India, but the actual orders would depend on price competitiveness. The basic skills to penetrate new markets, negotiation skills and knowledge of distribution channels in India are other major factors. 
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    Cotton Exporter's Guide

    Brochure - African cotton promotion
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