Cotton Prices Continue To Exert Pressure On Retailers.

On Monday, the independent report cites the United States.

Allen Terhaar, executive director of the international cotton Commission, said: "will we see that prices of clothing and household goods continue to decline? Maybe not.

Consumers should not expect clothing prices to shrink like we have seen for years. "

He said the rising demand for clothing in China, India and Brazil is an important factor in supporting the long-term rise in prices.

"Demand in emerging markets is the real engine," Mr. Terhaar said.

From now to 2025, the demand for new fiber will reach 20 million tons, of which the US expects the fund to increase by 500 thousand tons, while China and India together expect to increase by 1400-1500 million tons, mainly as a result of the combination of population growth and economic growth.

It's not just cotton.

The surge in wool prices is also a problem for retailers.

Earlier this year, floods in Queensland led to the doubling of the wholesale price of Australian wool in the world's largest wool producing country, nearly 15 US dollars per kilogram this month.

Fashion retailer Next CEO Lord Wolfson warned last September that this spring and summer season.

The new reason for the rise in cotton prices is the recent bad weather in the United States, which accounts for 40% of the world's cotton trade.

Last week, Swedish fashion retailer Hennes&Mauritz AB (HM - B.SK) complained that cotton prices doubled compared to the 10 year average price and the company's two quarter profits fell 18%.