International Cotton Advisory Committee (ICAC) 2 on 2 day released the latest issue of the report, the 2008/09 year, the global cotton trade is expected to decline 21 percent, to 6,600,000 tons. Consumer demand for cotton and cotton-exporting countries to reduce the decline in output will affect the volume of cotton imports.

As the largest importing country of China is expected to import only 1.5 million tons, representing a 41% reduction in 2007/08. Were the world’s second and third largest cotton exporting countries of India and Uzbekistan, its export volume is expected to be reduced over the previous year about 40%. However, the largest exporter of the United States, despite a sharp decline in output, demand fell by a smaller impact, 2008/09 is expected to export 2.6 million tons, representing a reduction of the previous year only 12%.

2009/10, the global cotton acreage is expected to continue to decline. Of diminishing returns cotton, other crops more attractive prices and anticipated even more difficult to obtain financial support, farmers will continue to transfer all kinds of other alternative crops. Therefore, the 2009/10 world cotton production will drop 1 percent, to 23.4 million tons.

ICAC2007 price model is expected to the year 2008/09 average Cotlook A Index will drop 16 percent, to 61 cents / pound, may be in the 56-66 cents / lb between.