Cotton Council International (CCI), which is serving as the overseas marketing representative of American cotton industry, shared price predictions as regards to the cotton for 2014-2015 in its informational meeting. Marsha Powell, the Program Director of CCI in Turkey that has close dialogue with the Turkish textile manufacturers and sector representatives stated that China ceased stocking cotton and will import less cotton in the period of 2014-2015. Expressing that they have an adequate amount of cotton in their stocks for one year on the basis of the estimates made with the figures and forecasts explained by China, Powel added that they expect a decline in the cotton prices.
Claiming that China has stalemated itself because of its agriculture and import policies, Powell stated that China had held stocks of around 60 percent in previous periods. Stating that the prices were kept under control since the goods were both from the Chinese manufacturers at high prices, Powell said that the situation has now become reversed and China will reduce the subventions granted to the farmers producing cotton gradually in the upcoming period. Stating that the cultivation areas for cotton will be reduced, Powell added that they expect stocks sales in China.
Expressing that the importation figures of China in the field of cotton will reduce and the expected stocks sale will have global results, Powell said that the other countries importing cotton will tend to stock cotton by seizing the opportunity stemming from the downward trend in cotton prices. Stating that the cultivation areas will not decrease despite the downward trend in the cotton prices, Powell took the USA as example where the cotton cultivation areas increased by about 8 percent this year.
Cotton LEADS™
Powell stated that one of their most important breakthroughs of CCI in the last period has been to put Cotton LEADS™ into practice. Powell said that Cotton LEADS™ cooperated to find new markets by gathering the cotton producers in the United States and Australia under the same roof and increasing the popularity of the cotton produced. Additionally, Powell stated that, with the cooperation of CCI with Cotton Australia, they aimed at ensuring the production of cotton demanded by the world textile sector in line with the sustainability principles and carrying the cotton production to a better position.
Supply Chain Marketing Program
Stating that they have an export volume of 17 percent in the cotton production of United States and Australia in the international markets and 40 percent of global cotton exportation, Powell said that they will reach to higher position thanks to the synergy achieved with Cotton Australia. Saying that they will enable the textile manufacturers to open to new markets and increase their sales by also putting Supply Chain Marketing Program into practice. Stating that it is very difficult to conduct market research by going to another country, Powell said that, with the Supply Chain Marketing Program, CCI has offered this type of research to the members.
