China Will Buy A Large Quantity Of Cotton, Which Has Sharply Reduced The State Reserve Cotton Stock.

China, the world's biggest cotton buyer, will increase its import of cotton because China has sharply reduced its once huge national cotton stocks, causing the domestic cotton supply to shrink.

China's national development and Reform Commission announced on Friday that the quota of cotton import quasi tax quotas this year amounts to 800 thousand tons, all of which are non state trading quotas.

The quota is outside the quota of 894000 tons low tariff rate of 1%.

Wang Qian, director of information at Shanghai international cotton trading center, said imports could be used to fill shortages this year rather than national reserves.

If cotton prices are to be cut down, the government may only make use of the national reserve cotton.

The national development and Reform Commission said cotton spinning enterprises applied for cotton import quotas in from April 15th to 29th.

Wang said that once China and the United States resolve trade disputes, China may increase imports from the largest cotton supplier in the United States.

China imposed a 25% retaliatory duty on cotton in the United States last year.