Monday, September 14, 2015

Signposts: Chinese Cotton Imports Hit Lowest Level In 10 Years

From Agrimoney:

Chinese cotton imports slump, with government inventories as big as ever
Chinese cotton demand hit at least a 10-year low in August, thanks to a weaker economy and ample domestic stocks. 
China imported 70,000 tonnes of cotton in August, trade website said. This marks the weakest monthly imports since at least 2005. 
China, once the world's biggest cotton importer, is in seeing rapidly falling imports.
In September the International Cotton Organisation pegged 2015-16 Chinese cotton imports at 1.6m tonnes, down 12% from the previous season and the fifth consecutive year of decline.
The US Department of Agriculture forecasts China's 2015-16 imports at 5.75m bales (1.25m tonnes), down  31% from the year before, and the lowest since 2002. 
And this month Barclays said that China was set to be a net exporter of cotton by 2020. 
Reeling lower
Low demand from China comes as economic weakness, which potentially threatens demand from China's clothing industry, exacerbates an existing policy of import reduction....MORE