Gujcot Trade Assocation

MONTHLY RATE MOVEMENT REPORT AUGUST-2025

Posted : September 01, 2025

Dear All Cotton Friends,

In our mission to give Daily Spot Rate Team Gujcot is getting valuable support from Gujcot broker’s panel. We appreciated their humble service to the trade. Gujcot Team is giving daily closing of Indian and foreign futures rates.

In this report we have provided Following Rates during the month.

Daily Physical Spot Rate

MCX Cotton Daily Closing Rate

USD-INR Exchange Rate Closing

Cotlook Index

ICE Future Closing

NCDEX Kapas Rate

MCX Future Closing

NCDEX and MCX converted into Rs. Candy Rate

We hope it will be useful to all the stake holders of Textile Value Chain.

NY December remained stuck in a very tight range of 66–69 cents throughout the month. Despite bearish factors such as the WASDE report, U.S. tariffs on India, and higher on-call purchases indicating weakness, the market ignored all these signals and held firm within the narrow band of 66.36 to 68.39 cents per pound.
U.S. export commitments opened lower compared to the last two years. While last year’s exports surpassed the target, this season’s August commitments and shipments are lagging. However, there is still ample time, and exports are expected to pick up in the coming months.
In India, the physical market was strong at the beginning of the month, with the Cotton Corporation of India (CCI) being the only major source of supply. Both speculative players and actual consumers rushed to cover from CCI, enabling it to sell significant quantities. Mid-month, however, the sentiment shifted sharply when the Government of India allowed duty-free cotton imports until December 31. This decision triggered a steep decline in domestic prices, which corrected down to around ₹55,500 per candy. The move was aimed at supporting employment-intensive sectors impacted by U.S. tariffs on Indian goods.
The monsoon progressed well across all cotton-growing regions, raising hopes for a good crop. Overall all-India sowing stood at 108.47 lakh hectares by the end of August, slightly lower than last year. South India reported an increase in sowing, while Central India witnessed some diversion to other crops. Gujarat contributed 20.72 lakh hectares to the total.
The Indian rupee remained volatile and trended weaker under global macroeconomic pressures, fluctuating between 86.95 and 88.19. The Indian basis mostly declined steadily in a descending order through the month.
Looking ahead, North India is ready to begin the new season from next month, while some arrivals from summer crops have already started in South India.
Outlook: With favorable monsoon conditions, anticipated export recovery, and new crop arrivals ahead, the market will continue to closely track domestic policy decisions, currency movement, and global trade dynamics.
Hope for best