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 29th Apr 2017

Textile sector may have uniform GST rate: Irani

The textile sector could have a uniform Goods and Services Tax (GST)...

Textiles | On 30th Apr 2017

Government revamping tech mission on cotton

Indian Government is working to revamp the technology mission on...

Apparel/Garments | On 30th Apr 2017

Columbia Sportswear records Q1 net sales of $543.8 mn

Columbia Sportswear Company has announced record net sales of $543.8...

Interviews View All

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

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

Anvita Mehra
Confidential Couture

‘It is going to take some time for Indian buyers to get accustomed to...

Manfred Mentges
Sedo Treepoint GmbH

We see a higher demand in colour management systems, as customers see big...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Sonam & Paras Modi
SVA

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

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

news category


Related Categories:
April 2017

April 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X