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Domestic cotton prices remain firm in March

Apr '07
According to the statistics of China Cotton Association, as of the end of March 2007, the country purchased a grand total of 6.365 million tons of cotton, a year-on-year increase of 21.2 percent, accounting for 95 percent of China's total cotton output. In most areas, new cotton purchase dealings have been finalized. But some cotton farmers still hold a small amount of unsold cotton in a wait-and-see attitude.

In March, domestic cotton prices remained firm, but upward trend slowed down. The first decline in five months was seen by the end of March. The lowest point of Chinese cotton price index level marked 328 points at 13,033 yuan per ton.

The highest point stood at 13,070 yuan per ton, with a fluctuation rang of 37 yuan per ton. March price averaged at 13,053 yuan per ton, rising 37 yuan from February, an increase of 0.28 percent, decreasing 1172 yuan from last year, a drop of 8.2 percent.

March cotton imports rebound sharply. During the month, China imported 260,000 tons of cotton, rising 135,000 tons over February, a rise of 107.7 percent, but decreasing 235,000 tons, or 47.5 percent from the same period last year.

Imports from January to March 2007 amounted to 508,000 tons, representing a decline of 54.5 percent from the same period last year.

In 2006 cotton year (September 2006- March 2007), China's total imports registered 1.12 million tons, a drop of 49 percent from the corresponding period in 2005.

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