On March 23-24, 2012, the four-day “American Cotton School†organized by the United States International Cotton Association (CCI) was held in Qingdao, Shandong Province. The session invited senior experts from the US cotton industry, senior representatives from China and Southeast Asian cotton textile companies, relevant leaders from the China Cotton Association and the China National Textile and Apparel Industry Federation to serve as guest speakers to enable companies to classify the varieties and origins of the US cotton and the US cotton. The system, US cotton planting and production, raw cotton procurement process, risk management, and many other US cotton related expertise have in-depth understanding, and conducted fruitful exchanges and discussions on the status quo of China and the United States and the world's cotton textile industry. More than 180 representatives from 97 well-known cotton spinning companies from China, Hong Kong and Southeast Asia attended the conference.
At the meeting, Dr. Mark Lange, President and CEO of the National Cotton Council (NCC), and Director of Overseas Operations of the National Cotton Federation of the United States, were invited to the status quo of the cotton and textile industries in China and the United States. Mr. Kevin Latner, Executive Chairman of the American Cotton Association, and Ms.Karin Malmstrom, China Director of the American Cotton Association, conducted an interview.
Reporter: Please estimate the 2012 US cotton production and how to increase the cotton planting rate.
Dr.Mark Lange: In 2011, the drought in the southwestern United States caused severe cotton crops. This year, the rainfall in these areas has improved. Although the planting area has decreased from last year, the cotton production in the whole year will also increase from last year. As per mu yields increase, farmers are more productive, so they will be motivated to grow cotton.
Reporter: How do you understand the current Chinese government's cotton purchasing and storage policy?
Dr.Mark Lange: I think China's cotton purchase and storage are mainly to ensure the stability of cotton prices. Another important point is that because China is a big country with cotton, the country has introduced such a policy, and also to ensure the accumulation of cotton reserves.
Reporter: What is the distribution of US cotton in the Asian market? The rapid growth of the textile industry in India, Pakistan and other countries will bring changes to the pattern of the textile industry in the Asia-Pacific region.
Mr.Kevin Latner: In addition to China, Vietnam, Thailand, and Indonesia are also the main export markets for US cotton. China is the largest export market for US cotton, but at the same time we are also very concerned about the entire Asian market. In China, the textile industry has a very good foundation. Textile mills, retailers and upstream and downstream industrial chains are fully equipped. Although India's textile industry is growing at a faster rate, there is still a certain distance from China. China is still the primary market for US cotton’s lasting concern.
Ms.Karin Malmstrom: Although China has been affected by pressures such as rising costs in recent years, some of its production and processing have been transferred to other countries, but no Southeast Asian country can replace its position. This industrial transfer is only a partial phenomenon in the industry chain and will not form a large-scale migration.
At the meeting, Dr. Mark Lange, President and CEO of the National Cotton Council (NCC), and Director of Overseas Operations of the National Cotton Federation of the United States, were invited to the status quo of the cotton and textile industries in China and the United States. Mr. Kevin Latner, Executive Chairman of the American Cotton Association, and Ms.Karin Malmstrom, China Director of the American Cotton Association, conducted an interview.
Reporter: Please estimate the 2012 US cotton production and how to increase the cotton planting rate.
Dr.Mark Lange: In 2011, the drought in the southwestern United States caused severe cotton crops. This year, the rainfall in these areas has improved. Although the planting area has decreased from last year, the cotton production in the whole year will also increase from last year. As per mu yields increase, farmers are more productive, so they will be motivated to grow cotton.
Reporter: How do you understand the current Chinese government's cotton purchasing and storage policy?
Dr.Mark Lange: I think China's cotton purchase and storage are mainly to ensure the stability of cotton prices. Another important point is that because China is a big country with cotton, the country has introduced such a policy, and also to ensure the accumulation of cotton reserves.
Reporter: What is the distribution of US cotton in the Asian market? The rapid growth of the textile industry in India, Pakistan and other countries will bring changes to the pattern of the textile industry in the Asia-Pacific region.
Mr.Kevin Latner: In addition to China, Vietnam, Thailand, and Indonesia are also the main export markets for US cotton. China is the largest export market for US cotton, but at the same time we are also very concerned about the entire Asian market. In China, the textile industry has a very good foundation. Textile mills, retailers and upstream and downstream industrial chains are fully equipped. Although India's textile industry is growing at a faster rate, there is still a certain distance from China. China is still the primary market for US cotton’s lasting concern.
Ms.Karin Malmstrom: Although China has been affected by pressures such as rising costs in recent years, some of its production and processing have been transferred to other countries, but no Southeast Asian country can replace its position. This industrial transfer is only a partial phenomenon in the industry chain and will not form a large-scale migration.
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