Cotton Prices Jump on India Export Ban (RL, LIZ, LULU)

Clothing makers like Ralph Lauren Corp. (NYSE: RL), Liz Claiborne Inc. (NYSE: LIZ), and lululemon athletica inc. (NASDAQ: LULU), all major consumers of cotton, have not shown any effects yet in their share prices.

India’s weak currency has led to higher levels of exports this year, particularly to China. The government’s ban on exports is likely a move to try to boost prices. An international cotton board last week estimated total shipments by the end of the 2012-2013 crop year of 14.5 million metric tons, a jump of 1.6 million metric tons.