Cautious optimism in cotton industry
Cotton supply chain information resource Cotlook has reported that a cautious optimism began to emerge in the industry during December, although it pointed out that the optimism was tempered somewhat by a rise in covid-19 cases in China and that “a transformation of market sentiment still appeared some way off”.
It said in its report for December that downstream textile demand remained below the level that would normally be expected for the month but that a slightly more positive mood was in evidence after China’s relaxation of covid-19 restrictions in late November. This led to what it called “a tentative improvement in raw cotton demand” in several countries.
Vietnam was one of the more active import markets, as mills experienced “a modest uptick in demand for cotton yarn” ahead of the Lunar new year celebration (which will begin on January 22).
