Home / Knowledge / News / Textiles / Lower Chinese cotton imports to impact Sodecoton
Lower Chinese cotton imports to impact Sodecoton
27
Oct '14
Lower demand from China this year, coupled with cotton prices which have fallen by around 30 percent since August 2013, spells tough times for Sodecoton.

Market news has not been good for African cotton companies, alongside Sodecton, which is the apex organisation for cotton trade in the African country of Cameroon, says Business in Cameroon.

Business in Cameroon quotes the Commodafrica which has analysed that China, which currently controls 60 percent of the world cotton market, has only a cumulative stock estimated at 11 million tonnes.

This, notes the President of the French Cotton Association or Association française du coton (Afcot) is less than half of what it was in 2014 and a third of what was in stock in 2012.

Combined with lower global prices, this decline in China’s imports will be a tough equation for African cotton companies to solve.

Cotton output at Sodecoton is expected to reach 240,000 tons this season, which is twice the volume of expected cotton exports to China in 2014/15.

This could mean lower cotton sales in the season, unless Sodecoton accepts a discounted price, which could also impact future operations at the cotton company.

This situation may also intensify smuggling of Cameroon cotton by local producers who actually receive seasonal credits from Sodecton to Nigeria; a practice that is already hurting Sodecoton.

“These various losses would leave the agro-industrial company vulnerable, making it difficult for it to honour its commitments to local banks which usually finance cotton seasons,” Business in Cameroon informs.

Commodafrica has said that the global market for cotton in 2014/15 will be harder for West-African countries, where cotton output is expected to rise by 16% to 1.8 million tons. (AR)

Fibre2fashion News Desk - India


Must ReadView All

Courtesy: Jens Mahnke from Pexels

Textiles | On 22nd Oct 2018

India levies anti-dumping duty on flax yarn from China

The ministry of finance, Government of India, has imposed definitive...

US polyester yarn makers allege dumping from China, India

Textiles | On 22nd Oct 2018

US polyester yarn makers allege dumping from China, India

Two major US synthetic yarn producers—Unifi Manufacturing, Inc...

Courtesy: Donear

Textiles | On 22nd Oct 2018

Aspiring middle class shaping menswear fabric trend

The key trends shaping menswear fabric include a new middle class and ...

Interviews View All

Luke Otten, Wigwam Mills Inc

Luke Otten
Wigwam Mills Inc

Wigwam aims to recycle discarded yarn that doesn’t make it through the...

DK Sharma, Velocity Apparelz

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Top executives, Textile & apparel bodies

Top executives
Textile & apparel bodies

Textile industry would like to see inclusion of cotton yarn under MEIS and ...

Karen Lou,

Karen Lou

Australia-based Sunseeker has been creating swimwear since 1970. Sunseeker ...

Harssh Chheda,

Harssh Chheda

Mumbai-based Corporate Collars provides bespoke tailoring services for...

Abhishek Pachauri,

Abhishek Pachauri

Reckon Industries is into manufacturing of textile process house machines, ...

S Ziya Gumuser, Teknomelt

S Ziya Gumuser
Teknomelt

Turkish nonwoven manufacturer Teknomelt has been around for only seven...

Pierre Wiertz, EDANA

Pierre Wiertz
EDANA

EDANA, the international association serving the nonwovens and related...

Mary-Cathryn Kolb, Brrr°

Mary-Cathryn Kolb
Brrr°

Atlanta-based private start-up Brrr° was founded in 2014 to develop...

Tony Ward, Tony Ward

Tony Ward
Tony Ward

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

Hemant & Nandita, Hemant & Nandita

Hemant & Nandita
Hemant & Nandita

The designer duo of Hemant & Nandita are known for being inspired by...

Mike Hoffman, Gildan Activewear SRL

Mike Hoffman
Gildan Activewear SRL

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

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

Leave your Comments


October 2018

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

news category


Related Categories:

Advanced Search