Appointment to the WTO by end of 2001 and elimination of global textile quotas in 2005, presented rare opportunities for China’s textile industry.

In 2002-2005 years, China’s textile and apparel exports achieved rapid growth, with cotton consumption increased from 6 million tons to 9.7 million tons.

This gap between cotton output and demand first became evident in 2002, and since then China’s annual imports have expanded. From 2002 to 2005 period, imports stood at 180,000 tons, 870,000 tons, 1.91 million tons and 2.57 million tons per year, respectively. From January-August this year imported cotton touched 3.03 million tons mark.

In 2005, cotton industry made better achievements, farmer’s earnings increased, the textile industry continued to develop rapidly.

Cotton market was relatively stable. New progress was made in cotton quality testing system. According to statistics, the cotton purchase price rose about 20.4 percent over the previous year, and farmers earned an additional sum of 13.2 billion yuan due to cotton price rise.

In 2006, China’s cotton area grows, the weather has been normal, and cotton output increases. Textile production and exports will continue to grow, but it is still an arduous task to find the balance in regarding works. Experts warn that the bumper cotton harvest in 2006 could not fundamentally change the situation of China’s cotton supply and demand picture.

Experts said that China should properly resume cotton area in the three main cotton-producing regions of Yangtze River valley, Yellow River valley and Northwest Region. China should focus on scientific and technological progress to improve cotton competitiveness and raise cotton yield through coordinated development.

To this end, the Ministry of Agriculture will be in charge of the application of the eight technologies and their testing demonstrations, which are:

Bt transgenic insect-resisting cotton and its supporting technology;

Hybrid cotton and its supporting technology;

High-quality cotton and its supporting technology applications;

Super early short-season cotton and its supporting technology experiments and demonstrations;

Cultivation techniques and the in-depth study and demonstration;

Drip irrigation under plastic sheets and its supporting technology;

Improvement and application of high density cultivation model;

Deep technical study on cotton wilt

Economic globalization creates challenges and opportunities simultaneously. From a macro perspective, the development of China’s textile industry has created a rare opportunity for cotton development.

Experts have pointed out that, if China seriously studies and improves the policies and measures to support cotton production and improve quality of cotton, income of cotton farmers will be promoted significantly.