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Project report for Cotton Seed Cake Manufacturing is as follows.
Cotton seed oil cake is commonly used as cattle feed because it has a protein content of about 25%, making it a rich source of nutrition for cattle. Cottonseed oil cake consumption by cattle helps increase milk viscosity, which is why it is more widely used in cow feed (for human consumption). Cottonseed oilcake is the second most valuable commodity obtained from the cottonseed, accounting for about 30% of the total product value.
Markets for cotton have been going higher in accordance with the good fundamentals. Physical trades are exhibiting constant improvement in terms of quantities as export prospects for Indian cotton remain better and local demand continues to strengthen following the lockdown phase.
Cotton oil cake, the principal processed product of cotton, has also risen as a result. Oil cake markets are now supported by rising cotton prices and sustained demand from the cattle feed industry.
Market potential & Strategy
After taking into account the increased occurrences of pest infestation, the USDA lowered India’s Cotton production projection by 500,000 bales last month. Pakistan’s output is expected to be 200,000 bales lower, while Australia’s output could be 100,000 bales higher. The world’s consumption is expected to increase by 1.5 million bales over the previous estimate, with China’s prediction increasing by 1.0 million bales, reflecting rising domestic textile demand and exports.
India is the world’s second-largest producer of cottonseed cakes, after China. Cottonseed oilcake has a higher protein content, making it appropriate for animal feed in India. Because milk consumption in India is increasing and is expected to continue to rise in the future, the local cottonseed oil cake market is expected to develop year after year. Cottonseed oil cake can also be used as a fertiliser on its own or in combination with other materials. Nitrogen, phosphate, potash, and a variety of other plant food ingredients are abundant in the Oil cake.
There are hopeful expectations that demand for cotton products will be strong in the short term as a result of the global economic recovery, despite concerns about the possibility of a major reduction in ending inventory. This year’s Indian cotton production is estimated to be about 360 lakh bales, with around 270-275 lakh bales arriving in the nation so far, according to trade sources. In the previous month, the CAI kept its consumption forecast for the current crop year at 330 lakh bale.
