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Indonesia's cotton imports from Mozambique to double
Jun '10
As per a senior official from the Indonesian Chamber of Commerce, the signing of the two-way trade agreement between Mozambique and Indonesia, will enable Indonesia to increase its cotton imports from the African country by two-times.

Mintardjo Halim, Chairman of the Chamber's Committee for Africa, said that, in 2009, the value of Indonesia's cotton imports from Mozambique touched almost US $15 million. Therefore, in the coming years, we expect the same to double, if the two governments decide to provide a special arrangement for cotton trade.

With increasing number of textile firms, turning to the African country to meet with their increasing cotton demand, cotton imports from Mozambique are likely to touch $25 million this year.

With the Indonesian Trade Minister, Mari Elka Pangestu and visiting Mozambican Trade and Industry Minister, Antonio Fernando inking a memorandum of understanding on the two-way trade co-operation, Indonesia, which is currently importing $2billion worth of cotton per year, can most likely surge its cotton purchase from Mozambique.

Pangestu, after signing the MoU said that, she and her equivalent from Mozambique have agreed to find a concrete way out to establish trade and investment between the two nations. The two nations might also explore the concept of forward processing in cotton trade.

Under this trade, Indonesia will purchase raw cotton from Mozambique and later re-export finished goods back to Mozambique after processing it here, added Pangestu. Therefore, in addition to trading cotton, the two nations have also agreed upon finding ways to promote textile and apparel trade.

Fibre2Fashion News Desk - India

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