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Trusted Source for Mandi Bhav Updates
Select Mandi
Apr 08, 2026
by Pankaj Sihag
Ongoing Surge in Cotton Market Amid Reduced Production and Growing Demand
Rise in Cotton Oil Cake Prices: The price of Cotton Oil Cake has been consistently rising, recently surpassing the ₹3400 mark.
Delayed Production: This year, early cotton sowing in North India and Maharashtra's Khandesh region has been lower than usual. These areas are typically known for early arrivals of new-season cotton, but this year, due to delayed planting and lower yields, production is expected to decrease. Additionally, the new crop is likely to arrive a month later than anticipated.
Seed Shortage: Farmers are facing challenges due to a shortage of high-quality seeds.
The demand for cotton remains high, while the supply is limited, driving up prices.
Future Outlook: The market is expected to see further increases over the next 20-25 days.
NCDEX Cotton Oil Cake: On NCDEX, the spread between September and December contracts for Cotton Oil Cake has widened to ₹452. The September contract is currently in an overbought condition.
Overbought Condition: The September contract's overbought status indicates heavy buying pressure, which could soon lead to a price correction.
Profit Booking: It may be wise to book some profits in the September contract, as prices could drop suddenly due to the overbought situation.
Technical Analysis: It is recommended to sell the September Cotton Oil Cake contract at ₹3380, with a stop loss at ₹3430 and targets of ₹3320 and ₹3280.
Disclaimer: This information is provided for informational purposes only and should not be considered investment advice. Please consult with a professional before making any investment decisions.
