Home / Knowledge / News / Textiles / Govt may intervene if cotton prices continue to fall
Govt may intervene if cotton prices continue to fall
26
Sep '08
Recently a national teleconference on cotton was organized by the National Development and Reform Commission in collaboration with seven other ministries. During the meeting it was decided that the state will strengthen macro-control over cotton market in order to stabilize cotton production in the country.

The state will start purchasing domestic cotton if cotton prices continues to fall. At the same time, China will also strengthen regulation and control over cotton imports.

Market experts suggest that this year cotton purchase will face prominent contradictions and problems, which will affect the earnings. However, increased input has boosted the expectation of farmers over purchase price, while cotton enterprises are more cautious due to diminishing profit in past two years.

During the meeting general requirements for 2008 cotton arrangement were also discussed. It includes new cotton purchases, ensuring availability of funds, stabilizing cotton market to protect the interests of farmers, strengthening macro-control to meet the needs of the market and speeding up the reform of quality inspection to ensure cotton quality.

Cotton prices have continued to fall since early 2008 but the state has not carried out large-scale interventions as the market expected it to do.

It was only towards the end of August this year, that the state issued a 291,300 tons purchase plan of Xinjiang cotton in order to resolve sales difficulties affecting cotton in the province. However, actual transactions were conducted for just around 81,300 tons.

Some industry analysts believe that China's annual cotton output is expected to be around 8,000,000 tons in 2008, while the nation will import 2,440,000 tons cotton.

Fibre2fashion News Desk - China

Must ReadView All

Textiles | On 21st Feb 2017

Net profit at Indorama Ventures zooms 145% in 2016

Net profit at Thailand headquartered and Aloke Lohia led Indorama...

Information Technology | On 21st Feb 2017

ThreadSol launches IntelloBuy & IntelloCut in Vietnam

ThreadSol, the pioneer of enterprise material management for sewn...

Textiles | On 21st Feb 2017

GST to reduce documentation for logistics firms: CBRE

The Goods and Services Tax (GST) is likely to result in a reduction...

Interviews View All

Rajiv Sirohi
Shara

‘Portugal is taking away a major share of the mill made sector.’

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Janak Dhamanwala & Sunil Dhamanwala
Jansun

Moving towards sustainability is also a social change

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

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