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Chinese domestic & global cotton price gap widens in June
Jul '12
The gap between cotton price in Chinese domestic market and global market increased in June, as cost of imported cotton continued to fall below the price of cotton in Chinese local market.
The average CIF price of imported cotton at major Chinese ports was 11,556 Yuan/ton in June. After addition of 1 percent quota tariff, VAT, port charges and domestic freight, the price goes up to 13,587 Yuan/ton, which was 4975 Yuan below the domestic price of the same standard during the month of June. The price difference, thus, increased by 645 Yuan/ton compared to May 2012.
The cost of imported cotton, based on floating tariff, averaged to about 14,580 Yuan/ton in June, which was 3980 Yuan lower than the price of domestic cotton of the same standard during the month. Thus, the price gap expanded by 350 Yuan/ton compared to the previous month.

Fibre2fashion News Desk - China

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