Home / Knowledge / News / Textiles / Chinese policies control & stabilise global cotton prices
Chinese policies control & stabilise global cotton prices
04
Dec '12
One major source of uncertainty regarding short-term global cotton supply and use projections stems from Chinese policies. The Chinese government has accumulated a national reserve of over 7 million tons in the last 14 months by buying domestic and foreign cotton.

This national reserve will likely continue growing until the end of March 2013 but it is not clear how it will be managed after that point. International cotton prices are currently supported and stabilized by Chinese policies, but changes to these policies could have opposite results.

The Secretariat projects that global cotton production will decrease by 11% to 23.2 million tons in 2013/14 due to lower cotton prices and increased attractiveness of competing crops. This would be the second consecutive season of decline in cotton production and the smallest output in four years.

Production is expected to fall sharply in the United States and Turkey, where competition with grains and soybeans is strong. Smaller crops are also projected in China, Pakistan, Central Asia and Francophone Africa. Production is forecast only slightly down in India, assuming a recovery in the average yield.

Global cotton mill use is expected to continue growing slowly in 2013/14, on the basis of a continued gradual recovery in global economic growth. The Secretariat forecasts global cotton mill use to rise by 3% to 24.2 million tons, driven by South Asia.

World cotton trade could remain almost stable at 7.8 million tons, as a projected further drop in Chinese imports could be offset by increased demand from the rest of the world.

After three consecutive years of increase, global stocks could contract by 6% from the record level of 16.6 million tons forecast in July 2013, to 15.6 million tons in July 2014. Most of this reduction in stocks is expected to take place outside of China.

International Cotton Advisory Committee

Must ReadView All

Courtesy: BGMEA

Apparel/Garments | On 27th Feb 2017

'Brands & buyers should help Bangladeshi factory owners'

Brands and buyers should come forward to help factory owners in...

Apparel/Garments | On 27th Feb 2017

Myanmar sets up new committee to revise minimum wage

The Government of Myanmar has set up a new committee, replacing an...

Courtesy: PT Indonesia Taroko Textile

Textiles | On 27th Feb 2017

Taiwan's Lealea to buy Tarako textile plant in Indonesia

Taiwan based textile manufacturer Lealea Enterprise Company, one of...

Interviews View All

Deepak Jain
Baggout

We are using Facebook and Instagram to promote ourselves

Poojaa Kumar Deepak
Zeven

Zeven's performance sports apparel is designed for the Indian body type,...

Anavila Misra
Anavila Collection

Fashion shows are also encouraging and highlighting sustainable fashion

Eric Scholler
Groz-Beckert

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

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Giorgio Mantovani
Corman S.p.A

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

Bani Batra

Bani Batra’s couture wedding collection is inspired by traditional Indian...

Rupa Sood and Sharan Apparao
Nayaab

Nayaab, an exhibition meant to celebrate Indian weaves, is in its second...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

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
February 2017

February 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