According to a survey made by the Chinese Cotton Association in thirteen provinces in early March, farmers are no so keen on cotton production because of low cotton procurement price and growing cost of cotton production. The association estimates a cotton acreage reduction of 13.87% this year from last year, more than BOABC’s estimate of a 9.4% reduction. With the implementation of the state favorable policy, actual planted cotton acreage may be close to BOABC’s estimate. Below are the association’s survey results:
The Yellow River Reaches: Cotton acreage is estimated to decrease 12.5%. Cotton procurement price in Shandong and Henan is higher than in other provinces. By March 9, farmers had sold 80% of cotton in Shandong, Henan and Hebei. Planted cotton acreage is estimated to drop 13.4% in Shandong, 11.28% in Henan and 9.6% in Hebei. Cotton procurement price in Shanxi and Shaanxi is below the nation’s average and therefore their planted cotton acreage may slip 23.3%.
The Yangtze River Reaches: As cotton procurement price is below the nation’s average, cotton acreage is predicted to slip 15.8%. Hubei and Jiangsu may see cotton acreage decrease more than 24%.
The Northwest: Cotton procurement has been wound up. Due to swelling cost of cotton production, cotton acreage is predicted to shrink 12.9% this year.
|
