The cotton industry is passing through one of its worst phases in its history. The global economic downturn has brought about a negative growth in consumption of the wild gold in the last few months and along with that prices have also touched four year lows.
But industry experts are betting on the fact that, in a bid to offset weaker demand the only way out for cotton growers would be to offer better quality cotton for which the demand will never slowdown as much as it has for low quality varieties.
The new crop sown in Australia is showing signs of good cotton quality along with possessing other properties of long fibre length, strength and fineness, which all put together, increase the salable prospects of the cotton crop.
The cotton crop is expected to scale up to more than double from that of the last season to touch 1.4 million bales, since the crop last year had been affected to a great extent due to the non-availability of irrigated water and managed to reach only 600,000 bales.
The cotton enterprises are betting on China which is its biggest purchaser to purchase a big portion of the cotton crop, but at the same time are looking for other Asian destinations to dispose off the remainder of the remaining crop.