Harvest arrivals of fresh Shankar-6 seed cotton (kapas) have accelerated across Gujarat’s principal marketing yards, including Rajkot, Gondal, Amreli, Kadi, and Himatnagar, with daily state arrivals crossing 22,000 to 25,000 bales in the final week of October 2026. However, trading activity across Ahmedabad spinning mills and Saurashtra ginning centers remains cautious due to an ongoing pricing and quality standoff.
Quality Discrepancies and Moisture Concerns
Ginners and spinners report that early arrivals carry higher-than-average moisture levels (between 12% and 15% in some Saurashtra mandis due to late-season October moisture), well above the standard commercial benchmark of 8% to 9%. Consequently, spinning mills in Ahmedabad, Mehsana, and Dholka are buying strictly on a need-basis, hesitating to stock high-moisture lots before the Diwali break.
Mandi Prices Above Government Support Level
Despite rising arrivals, open-market raw cotton continues to trade firmly at ₹9,050 to ₹9,250 per 100 kg (kapas) and ₹56,000 to ₹57,500 per candy of ginned lint cotton. This is significantly above the government’s revised Minimum Support Price (MSP) floor of ₹8,267 per quintal for medium staple and ₹8,667 per quintal for long staple, removing the need for Cotton Corporation of India (CCI) procurement operations for the time being.
Ahmedabad Spinners Watching Duty Waiver Extension
For Ahmedabad’s spinning and denim weaving mills, raw cotton costs remain uncomfortably high when weighed against subdued domestic cotton yarn rates. With 30s combed cotton yarn trading at around ₹265 to ₹275 a kg, spinners report that current lint prices leave yarn-making margins paper-thin.
The industry is closely monitoring New Delhi for the anticipated formal notification extending the 11% cotton import duty waiver through December 2026. Trade analysts believe that once the duty-free extension is officially signed and drier new-crop arrivals peak in mid-November, cotton lint rates will stabilize, providing a clearer price baseline for Ahmedabad yarn contracts.