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Chinas Cotton Policy Leads to Bearish World Outlook
July 26,1999
Summary
China's recent policies to decrease cotton prices have stimulated exports, and contributed to the bearish world cotton outlook. China's evolving cotton policy will continue to impact world market prices and U.S. prospects for cotton exports in key markets in Asia. However, once stocks are reduced over the next few years, it is likely that China will re-emerge as a net cotton importer to satisfy the fiber needs of its export-oriented textile industry.
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