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Spot cotton prices continue northwards march

24
Jun '10
Since the beginning of this year, domestic spot price of cotton has maintained a steady upward trend, almost without any setback and has grown by nearly 40 percent.

CNcottonB index, representing domestic price of spot cotton, has increased from less than 13,000 Yuan / ton in early period of the year to the current 18,000 Yuan / ton, a gain of 5,000 Yuan / ton.

Fortunately, downstream industries too have absorbed the impact of rise in cotton prices, while in earlier years, downstream transmission was a difficult task, which, finally resulted in decline of cotton prices.

This also shows from another perspective that downstream demand is strong and China faces shortage in domestic cotton supply.

Fibre2fashion News Desk - China


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