In April 2016, China’s cotton imports were up 20.5 per cent month on month, but still down 56.6 per cent from a year ago. In the first four months of 2016, cotton imports were down 54.1 per cent year on year. In the first eight months of the 2015/16 season imports were down 44.9 per cent year on year.
Imports in April increased somewhat from March, indicating a higher demand, but restrained by the coming state cotton auction, the upswing was limited. The US remained the top supplier for China, while India slipped from the second place to fourth place this year. Uzbekistan became the second supplier. Moreover, Australia also went down the rankings. The change of rankings was mainly attributed to the cost performance of cotton.
Except Australian and Cameroon cotton, Chinese imports of cotton from other origins decreased year on year. The quantity of US cotton decreased by 76 per cent on an annual basis. In general, imports of cotton shrunk compared to the last season. The state cotton reserves sales are expected to last from May to August. Besides, the reserved imported cotton is almost totally transacted in May, which affects the transactions of cleared foreign cotton to some extent.