How will refined cotton import and export market pattern evolve?

Refined cotton import and export markets have undergone great changes this year. Among them, the export has declined significantly, while the import has continued to grow. The import and export market trends are completely different. Will the future pattern continue to evolve?

The export volume of refined cotton in Oct this year was about 6.6kt, a month-on-month increase of 2.21%, and a year-on-year decrease of 10.53%. The import volume in Oct was approximately 3.419kt, a month-on-month increase of 73.4%, an astonishing year-on-year increase of 3,261.33%. The proportion of single-month import volume in export volume rose sharply to nearly 52%.

The cumulative export volume of refined cotton from Jan to Oct this year was 68.527kt, a year-on-year decrease of 2.5%. The cumulative import volume from Jan to Oct was 14.633kt, a year-on-year increase of 11.7%. In the past 10 years, the average growth rate of refined cotton exports was about 4.2%, and the average growth rate of imports during the same period was 21.1%. The growth rate of imports was significantly greater than that of exports.

In addition to changes in product quality and end-user demand, changes in import and export prices in the past three years are important factors causing changes in import and export volume. Among them, the average export price of refined cotton in Oct this year was $1,815/mt, a month-on-month increase of 2.9%, and a year-on-year decrease of 18.7%. The average import price in Oct was $1,193/mt, a month-on-month decrease of 14.9%, a year-on-year decrease of 40.6%, and the average import price was 34.3% lower than the export price. The average export price of refined cotton from Jan to Oct was $1,809/mt, and the average import price during the same period was $1,442/mt. The average import price was about 20.3% lower than the export price.

To sum up, the import and export markets of refined cotton have changed greatly this year. Among them, the export volume has dropped significantly, while the import volume has grown rapidly. In addition to changes in product quality and end-user demand, change in import and export prices is an important factor causing changes in import and export volume.