Home / Knowledge / News / Textiles / Chinese cotton prices lie low in new season
Chinese cotton prices lie low in new season
31
Oct '11
Since the beginning of the new cotton season, China's prices of seed cotton, raw cotton, cotton yarn, first moved higher but later dropped lower this year, since farmers are reluctant to sell cotton and cotton enterprises are not willing to purchase.

Textile enterprises are reluctant to buy cotton due to difficulty in sales of final products. The entire cotton industry chain is in a wait-and-watch mode, a stark contrast to the sharp and continuous rise of cotton prices over the same time last year.

Experts aver that the main reasons of low cotton prices are that, global cotton production will reach 27 million tons this year, while demand will steadily decline to 25 million tons, showing an oversupply situation.

Second, domestic cotton has realized a bumper harvest; while demand is basically flat when compared with the previous year and the gap between supply and demand has narrowed.

Third, European and American markets are in downturn, due to which demand for cotton textiles has fallen and orders from overseas markets have fallen sharply.

Fourth, domestic labor costs and raw material costs are rising, which has led to Chinese cotton textile enterprises losing their international competitiveness. Overseas orders have shifted to some low-cost countries in Southeast Asia.

Cotton farmers are generally not satisfied with current low cotton price and hence are storing large volumes of harvested cotton in anticipation of getting better prices at a future date.

Fibre2fashion News Desk - China

Must ReadView All

Textiles | On 9th Dec 2016

ACIMIT signs MoU with Pakistan textile bodies

In a bid to strengthen the trading in garments and textiles between...

Textiles | On 9th Dec 2016

‘Less demand may make it hard to achieve export target’

The $48 billion target for textiles and garment exports for 2016-17...

Textiles | On 9th Dec 2016

GST Council may decrease tax rates in future: CBEC

The goods and services tax (GST) Council might reduce the proposed...

Interviews View All

Karan Toshniwal
Orange O Tec

Contemporary industry is paying more and more attention to the...

Amardeep Singh
Orient Craft

'In export markets, the trend in terms of embroidery, is towards matte...

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Eric Scholler
Groz-Beckert

The Indian market has huge potential in technical textiles, and by far,...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer Prathyusha Garimella is known for blending...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

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
December 2016

December 2016

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

SUBSCRIBE


Browse Our Archives

GO


Advanced Search