China to restrict 2015 cotton import quota to TRQ only

NDRC held a press conference regarding the cotton target price program on September 22nd. Mr. LIU Xiaonan, deputy director general of the Department of Economy and Trade at NDRC, stated that China would limit its 2015 cotton import quota to the 894,000 tons of TRQ only, with no additional import quotas to be issued as in previous years. He also said that in order for the new cotton to sell well, the state reserve will be holding its cotton stock back from sale from September 2014 to March 2015, unless there is a spike in demand from the market.

Mr. Liu made a prediction about the domestic supply and demand of cotton in the new crop year. China’s cotton production is anticipated to decrease 0.5 million tons from last year to 6.5 million tons, while demand for cotton to increase by 0.5 million tons to 8.5 million tons. The gap between supply and demand will be about 2 million tons, 1 million tons more than last year. Domestic cotton prices will fall, but hopefully in a reasonable range.

This change in policy will badly impact the US cotton industry.

More Advocacy Issues

Yesterday, Representative David Scott (D-GA), Chairman of the House Committee on Agriculture, Representative Sanford Bishop (D-GA), Chairman of the Subcommittee on Agriculture, Rural Development, Food and Drug Administration, and Related Agencies, and Senator Raphael Warnock (D-GA), the sole cotton state Democrat on the Senate Committee on Agriculture, Nutrition, and Forestry wrote a letter to Secretary […]

Read More
 

Yesterday, the House Transportation Subcommittee on Coast Guard and Maritime Transportation held a hearing entitled “Impacts of Shipping Container Shortages, Delays, and Increased Demand on the North American Supply Chain.”  The hearing featured two panels: the first panel included Federal Maritime Commission (FMC or Commission) Chairman Daniel Maffei and Commissioner Rebecca Dye, and the second […]

Read More
 

On June 9, 2021, the U.S. Commodity Futures Trading Commission held a meeting of its Agricultural Advisory Committee, which ACSA President/CEO Buddy Allen and Vice-Chairman Tommy Hayden sit on.  The Committee received a report from the Subcommittee to Evaluate Commission Policy with Respect to Implementation of Amendments to Enumerated Agricultural Futures Contracts with Open Interest.  […]

Read More
 

On April 16, 2021, the China Cotton Association (CCA) wrote the Committee for International Co-operation Between Cotton Associations (CICCA) a letter regarding cotton in the Xinjiang region of China. The China Cotton Association also released a statement regarding the recent boycott on Xinjiang cotton by apparel brands. See both the letter and statement below. Letter […]

Read More
 

On April 14, 2021, Memphis stakeholders wrote a letter to Chairman Oberman of the Surface Transportation Board expressing the need for assistance in resolving the current inland rail crisis affecting importers, exporters and motor carriers in the area. See the full letter below. Click Here

Read More
 

On March 15, 2021, Mississippi State University published the expected PLC payments for the 2020 year. Please see the link below for more information. Click Here

Read More