Despite an expected larger local cotton production in MY 2006-2007, Argentine spinners are likely to import 35,000 tons of cotton.
Once an important southern hemisphere cotton exporter (350,000 tons in 1996), Argentina is expected to continue to decrease its exports to a mere 12,000 tons in MY 2006-2007.
In the past few years, the combination of third-world cotton prices, strong competition of profitable soybean production, weather problems, and more recently, strong domestic cotton demand, have resulted in reduced exports.
Lint exports are projected to continue at a low of 12,000 tons while domestic consumption of cotton is forecast to achieve a new record at 160,000 tons.
marketing@alchempro.com
