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Who is to deal with US cotton dumping?

22 Nov '06
3 min read

Though China is a big agricultural country, it is not as strong, yet. China has quite a lot of agricultural production and processing operations with small-scale, low added value and low-tech. Many enterprises and operations are uncompetitive due to lack of modern production modes and management.

In facing anti-dumping investigations abroad, China's farmers are very difficult to respond, because China's farmers and agricultural operations are scattered.

This natural weakness resulted in a distressing situation: In the face of foreign anti-dumping investigations, China's farmers are often silent, have no choice but to quietly endure huge losses as the result.

Oversees agricultural exports to China have brought a great economic impact to some areas, it is related to the livelihood of millions and even hundreds of millions of farmers as well as local social stability.

If not promptly respond or initiate anti-dumping investigations on foreign goods, Chinese peasants' living space would be gradually reduced by foreign products.

Cotton is a typical example; the US is dumping large quantities of cotton into China. It has seriously damaged the interests of local cotton growers and domestic cotton business.

More important is that once the domestic cotton production space being eaten completely, foreign cotton will initiatively take the opportunity to raise cotton price, thus bringing a huge threat to China's textile industry.

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