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Yarn output and cotton consumption are out-of-balance
07
Apr '08
Recently, China Cotton Association (CCA) consigned Jiangsu Sheyang Cotton Association to make investigations of the cotton industry's situation in the past 5 years of the county.

The investigation result shows that the cotton spinning enterprises of this county are going through difficulties at present and that the statistics volume of yarn output is relatively larger than the real one.

In 2007, because of shortage of funds and rising costs, of the 30 textile enterprises in the whole county, 3 stoppped producing; 14 are operating normally of which only 7 produce at full capacity.

On the other hand, the fake statistics volume from textile enterprises are relatively severe. According to the investigation, from 2003 to 2007, the whole county yarn output given to statistics department is 525,000 tons, but the real volume is 444,000 tons. Considering gap is more than 80,000 tons in 5 years, fake percentage works out to 18%.

The situation in Sheyang County is similar to the whole country, and which is a important reason of why yarn output and cotton consumption are out-of-balance, leading to a mistake in judging the cotton situation from different departments.

China Cotton Association

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