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Cotton production continues slide in 2009/10

21 May '09
4 min read

In China, 2009/10 mill use is forecast at 47.5 million bales, up 4.2 percent from 2008/09. The International Monetary Fund's (IMF) April 2009 World Economic Outlook forecasts China's economic growth in 2010 at 7.5 percent, 1.5 percentage points higher than the projected 2009 growth in economic activity. China has implemented an ambitious stimulus plan aimed at easing some of the credit constraints in the domestic economy, which is likely to boost textile production. In addition, China's cotton-polyester price ratio, which rose sharply in the fall of 2008, has since declined. While cotton is still expensive relative to polyester in historical terms, the shift is positive relative to 2008/09.

United States Department of Agriculture

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