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Demand for cotton declines in domestic market
Feb '08
According to Customs Statistics, China's total import of cotton amounted to 24,60,800 tons in 2007, a decline of 32.5 percent compared to 2006.

According to the experts, imports of cotton reduced as domestic harvest was ample, reaching nearly seven million tons and the price was also on a higher side. The domestic demand further decreased due to the limitations imposed on textile and garment products by Europe and US.

With promotion and cultivation of transgenic cotton in recent years, India's cotton production and export volume grew rapidly. In 2007 China's cotton imports substantially reduced, but its imports from India maintained growing trend.

In 2007, China imported nearly 1.12 million tons of cotton from US, a reduction of 34.18 percent from the previous year, total imports accounting for 45.70 percent. Shipments from India reached 6,32,900 tons, an increase of 6.66 percent, accounting for 25.74 percent. Uzbekistan marked 2,15,700 tons of import, depicting a fall of 40.73 percent, accounting for 8.77 percent.

For the first four months of current fiscal 2007-08, which runs from September to August, country's total cotton imports registered 7,95,800 tons, a rise of 29.58 percent, from the same time last year.

In January, large-scale acquisition of unginned cotton in main producing areas finished, resulting in stable prices. Avarage price of the month was quoted at 6.10 yuan per kilogram, down 0.33 percent from December, but up by 13.59 percent from the same time last year.

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