Sliding Import Duties Affect the Price

中国棉花市场分析报告Cotton
China Cotton Price
v Domestic Supply & Demand Data
§In 2006 China enjoyed a cotton harvest with plantation 79.97mil. mu and 6.73 million tons output 。(Data from NBS -- National Bureau of Statistics of China ).
中国棉花市场分析报告Cotton
China Cotton Price
v Cotton production in 2007

中国棉花市场分析报告Cotton
China Cotton Price
v China cotton consumption
§in the second quarter, the GDP growth in the first half of 2007 is 11.9%, and the annual GDP growth is expected to be 10%. For the past 4 years, the growth has been holding 9% and up.
§China’s per capital consumption of fabric also shown a rapid upward. In the past three years, the increase is 15% per annum and will maintain the strong growth.
v The Influence of RMB appreciation
§ China’s cotton & textile industry chains in main three elements: raw cotton—yarn & fabrics — apparel and textile. Products are distributed to two markets: for export and for domestic demand.
§and now are suffering from tense trade frictions and technical barriers caused by this trade gap.

中国棉花市场分析报告Cotton
Unfavorable Environment for China Textile Industry

中国棉花市场分析报告Cotton
China Cotton Price
v China cotton consumption
§For 2006-07 is 10.88 million tons, while for the 2007-08, the predicted cotton consumption will be 11.75 million tons. 。
§increase of domestic labor costs, the raise of raw material price and the decrease of the tax-return for textile export, the profits margin of the textile industry is extruded further.

中国棉花市场分析报告Cotton
China Cotton Price
v Un-favorable Environment for China Textile Industry
§created a lot of trade surplus benefiting from the good quality and cheaper price,
中国棉花市场分析报告Cotton
目
录
China’s Cotton Price in 2007
Domestic Supply & Demand Data Unfavorable Environment for China Textile Industry The Influence of RMB appreciation Cotton Net Gap change from Rigidity to Flexibility
中国棉花市场分析报告Cotton
China Cotton Price
v Cotton production in Main Areas

中国棉花市场分析报告Cotton
China Cotton Price
v Cotton production in 2007

§In 2006, China’s yarn production is 17.22 million tons. By the end of July in 2007 , the yarn production is 17.33 million tons.

中国棉花市场分析报告Cotton
§In 2007 cotton plantation is 81.7 million mu which is 2.2% higher than that of in 2006. Output will be 7.07mil.tons in early September this year.

China Cotton Price
v Unfavorable Environment for China Textile Industry
§above 95% are non-stated-owned enterprises in textile industry, one of the most market-oriented industries in China.