Cotton Production Predicted to Be 6.9 Million Tons Fell 4.2%

China´s cotton production in 2012 is predicted to be 6.9 million tons, registered a drop of 300,000 tons by 4.2% from last year, according to Zhang Xiaoqiang, Deputy Director of National Development and Reform Commission.

He said, according to the latest survey by agricultural departments, the cotton planting area in 2012 is about 4.84 million hectares, a drop of about 200,000 hectares by 4% from last year.

Zhang Xiaoqiang said, the purchase price for temporary cotton reserve announced by the government before spring sowing in 2012 is CNY 20,400/ton, an increase of CNY 600/ton. This has played positive role in stabilizing cotton production. However, due to dropping benefit of cotton planting and increasing production costs, the cotton planting area in this year has shrunk to some degree.