Cameroon envisage a decline in cotton price

A note of circumstances from the development of cotton Corporation (SODECOTON) has revealed that, the price of cotton in Cameroon could fall in the coming months due to fluctuations in the international market, given that world prices "have lost 30 percent of their value since August 2013.

According to sources, China, which currently controls 60 percent of the world cotton market, has stocks estimated at 11 million tonnes. This suggests that exports of cotton from Africa to China could then fall to 120,000 tonnes in 2015, which is two times less than in 2014 and three times less than that of 2012.

In this context, SODECOTON whose destination of exports is China and whose production in 2014 are projected at 240,000 tonnes may experience a discount in the price of its cotton.

This production of the Cameroonian industrial flagship represents twice the aggregate of the forecasts of African exports to China in 2015.

This could increase the escape of Cameroonian production to Nigeria, already very detrimental to the company.