Despite all the bad news that China is having in regards to price index. Cotton price is rapidly decreasing value which can compensate the raise on costs for other components such as labour costs and exchange rate CNY with USD.
We are happy to see that at least the garments industry is recovering from the damaged caused by huge increases on cotton side. After all the news about the bad weather in India, Pakistan, US and China during June and July, we are happy to see that production for cotton have been highly increased despite the climate problems and the demand now is affording to pay much lower prices that before.
Source: USDA Market News
| Month | Price | Change |
|---|---|---|
| Feb 2011 | 213.18 | – |
| Mar 2011 | 229.67 | 7.74 % |
| Apr 2011 | 216.62 | -5.68 % |
| May 2011 | 165.52 | -23.59 % |
| Jun 2011 | 160.65 | -2.94 % |
| Jul 2011 | 149.25 | -7.10 % |
| Aug 2011 | 114.10 | -23.55 % |
Leave a Reply