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Analysis of cotton industry in 2006

Feb '07
A brief review of cotton situation in 2006 was presented at the analysis forum on 'Cotton situation, purchase & sale and marketing in 2007' on January 30.

Recalling 2006, Zhulanfen, Vice President, China Cotton Textile Industry Association, explained that in the first 11 months of the year, China continued to maintain a rapid growth in output of yarn. The total cotton yarn output of cotton textile industry amounted to 15.59 million tons, a growth of 20 percent; cotton product exports reached US $50.474 billion, up 35.4 percent; profit amounted to 17.306 billion yuan, an increase of 36.74 percent.

The whole year's yarn output was estimated at about 17.4 million tons. The total yarn output of 11 provinces and cities declined, while six provinces and cities improved, soaring of 120 percent. Thus, production development gap between regions widened.

Regarding China's export features of cotton products for 2006, Zhulanfen summarized as follows:

First, structure adjustment of export products started to be effective. From January to November, total exports of cotton apparel amounted to $35.522 billion, a rise of 45.31 percent. The amplified amount was $11.08 billion, accounting for almost 84 percent of the boost in exports of cotton products.

Second, in 2006, cotton product export markets realized timely adjustment. China's export proportion of traditional export markets declined in 2006, like the US, Hong Kong, Japan, etc. while exports to Turkey, Canada, Mexico and other regions outside the EU rose faster.

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