China’s Xinjiang Uygur Autonomous Region, which has the country’s largest cotton growing area, would get a cotton trading centre, which is being planned to be set up by local cotton processors.
The cotton trading centre will come up in the Xinjiang Huijin Logistics Garden, Korla City, in southern Xinjiang, according to Xinhua.
Around 17 cotton purchase and processing enterprises will jointly support the construction of cotton trading centre involving a total investment of 1.5 billion yuan.
The trading centre would be constructed in two phases. The first phase, to be constructed with an investment of around 300 million yuan, will have a capacity to store 600,000 tons of cotton.
After the completion of the second phase, the total capacity will increase to 3.6 million tons.
In addition to storing cotton, the new centre will cooperate with other cotton future centres across China, providing a platform for cotton logistics, trade and transaction.
Xinjiang, located in northwestern China, accounts for over half of the country’s total cotton production.