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World cotton imports may recover modestly in 2015/16: ICAC

03 Jun '15
4 min read


Domestic cotton prices in China fell from an average of 139 cents/lb in 2013/14 to just under 100 cents/lb in the first five months of 2015 due to the ending of China’s reserve policy.

Assuming prices remain around the same level in 2015/16, Chinese cotton consumption is likely to remain stable at 7.7 million tons in 2015/16.

Instead, consumption is expected continue growing in nearby countries. Consumption in India, the second largest consumer of cotton lint, is projected up 3 per cent to 5.4 million tons in 2015/16.

Despite strong competition from yarn imports, Pakistan’s consumption is expected to grow 3 per cent to 2.6 million tons in 2015/16.

World ending stocks are forecast to decrease for the first time since 2010/11, falling 5 per cent to 20.8 million tons in 2015/16.

Although China’s ending stocks are projected down 6 per cent to 11.8 million tons, it would still hold 56 per cent of the world’s stocks at the end of 2015/16.

After increasing 19 per cent in 2014/15 to 9.4 million tons, ending stocks held outside of China are expected to decline 3 per cent to 9.1 million tons in 2015/16. (AR)

Fibre2fashion News Desk - India

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