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Bremen CIF Cotton Index drops considerably this week
Sep '14
The CIF Bremen Index dropped considerably this week, influenced by movements of New York Cotton Futures.

The latest Bremen Cotton Exchange report says basically good production conditions prevail in major cotton planting areas. In addition the future Chinese cotton policy became clearer since last week, it informed.

The report said, “The definition of an import quota that did not reach the WTO preliminary requirements, beat down expectations on future consumption and further reduction of stock levels in the rest of the world.”

It added, “Prices had reached a level that apparently stimulated demand and that was within reason considering a challenging thread market.”

During the week, distinctly higher inquiries and active trade in Europe was reported.

In the medium staple range, deliveries in the fourth quarter received priority, but other standard qualities were covered through stocks as well, and saved for production, far into the upcoming year.

In medium staple cotton, contracts were concluded from Greece and Spain for the fourth quarter of 2014, from West Africa for prompt and Central Asia for fourth quarter of 2014 and also up to second quarter of 2015.

In long and extra-long staple cotton, contracts were signed for Israel Pima, Spanish ELS and Giza 86 for prompt delivery. Giza 86 received another order for the fourth quarter of 2014 and Sudan Barakat for the second quarter of 2015. (AR)

Fibre2fashion News Desk - India

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