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Need to counter threat by man-made fibers to cotton: ICAC
Dec '16
Man-made fibres are posing a threat to cotton demand and there is a need to counter this threat, said International Cotton Advisory Committee (ICAC) executive director José Sette in a briefing for World Trade Organisation (WTO) members. He also said that ICAC members wish to streamline phytosanitary regulations affecting the international cotton trade.

“Competition from polyester is cotton's greatest competitive threat. Polyester had made considerable gains in the market for downstream products, such as yarn, filament, staple and apparel. This trend is due to cheaper polyester prices caused by current oil prices and underutilised industrial capacity in the polyester industry,” said Sette in his presentation for WTO members at a meeting of the 6th Dedicated Discussion of the Relevant Trade-related Developments on Cotton.

“ICAC approved a recommendation of the Private Sector Advisory Panel (PSAP) to broaden the terms of reference of the secretariat's ongoing studies of the polyester market to include government support measures that have stimulated overcapacity in the polyester industry,” he added.

Sette also said in his presentation that ICAC received a report from PSAP emphasising the need for harmonisation of phytosanitary regulations affecting the world trade of cotton. In particular, the PSAP noted that requirements for fumigation of cotton varied widely among countries and requested the standing committee to examine possible ways in which to reduce these differences during the coming year.

Latest developments in the supply and demand for cotton were also discussed at the meeting. In addition, Sette provided information on government support measures to the world cotton sector and on decisions taken during the recent ICAC plenary meeting. (KD)

Fibre2Fashion News Desk – India

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