Home / Knowledge / News / Textiles / 'Cotton most volatile commodity out of 53 tracked' - IMF
'Cotton most volatile commodity out of 53 tracked' - IMF
04
Oct '11
Volatility in cotton prices was the highest in decades during 2010/11, and cotton was the single most volatile commodity out of 53 tracked by the International Monetary Fund (IMF) during 2010.

However, special factors contributed to uncertainty, and thus volatility, during 2010/11, including historically tight world beginning stocks relative to use, unexpectedly rapid global economic recovery from a severe recession, and government interventions that disrupted trade patterns.

During the current season, world cotton production will exceed consumption and ending stocks will rise, both in absolute terms and as a share of use. Economic uncertainty continues, but market participants now have an additional year of experience on which to draw in managing such uncertainty. And governments are unwinding the special interventions implemented last season, thus allowing market forces to determine trade patterns.

During 2011/12, world cotton production is projected at 26.6 million tons, consumption at 24.7 million tons, and trade at 8.1 million tons. The Secretariat estimate of mill use during 2011/12 of 24.7 million tons is based on latest monthly data on mill use or imports, combined with IMF forecasts of world economic growth.

Ending stocks are forecast at 10.9 million tons, an increase of nearly two million tons from the previous season; the ratio of world ending stocks outside China to world use outside China (the traditional indicator of direction of change in world prices) will climb from 46 to 52.

Reports from Texas indicate that even irrigated fields are being abandoned (not harvested because of crop failures) and surveys for crop insurance claims suggest that yields will be lower than indicated in USDA reports.

Accordingly, the Secretariat estimate of U.S. production during 2011/12 is 3.4 million tons, 540,000 tons less than in 2010/12, and 200,000 tons less than the September 2011 USDA estimate.

International Cotton Advisory Committee (ICAC)

Must ReadView All

Apparel/Garments | On 24th Mar 2017

UK online retail sales up 15% in February 2017

Online retail sales in UK have grown by 15 per cent year-on-year in...

Courtesy: Messe Frankfurt

Textiles | On 24th Mar 2017

Over 3341 exhibitors participate in Intertextile Shanghai

More than 3,341 exhibitors from 26 countries and regions participated ...

Apparel/Garments | On 24th Mar 2017

Tiruppur garment cluster hopeful of meeting export target

The Tirupur garment cluster is hopeful of meeting its target of...

Interviews View All

Priyanka
Studio Priyanka Rajiv

‘To reinvent the age-old tradition of embroidery to suit demographics and...

Jim Desai
Blaiva Fabricaa

Fashion industry likely to remain labour-intensive in coming years

Ajay Ghariwala
Luthra Group

We are ready to adopt or follow every opportunity

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

news category


Related Categories:
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search