Uzbek cotton goes at one third of the price a decade ago
Two hundred and fifty companies from 36 countries participated in the Second International Cotton Fair in Tashkent. This year, Uzbekistan is expected to produce more than one million tons of cotton, and 700,000 or 800,000 of them will be exported (that makes Uzbekistan the second largest exporter of cotton after the United States).
Demand for cotton growing, its average price per ton has remained at the level of $570-590 for the second year. It makes is approximately one third of what it used to be, say, a decade ago. Plantations of genetically modified cotton are the reason. These days, they account for nearly 40% of all plantations in the world. Cost price of this cotton is fairly low, and the growth is immune.
Cotton remains the principal product of Uzbek export accounting for almost 20% of all hard currency earnings. Uzbekistan harvested more than 3.6 million tons of raw cotton this year, 85% of the yield harvested by private farms that replaced collective farms. Private farmers harvested almost 20% more cotton this year than they did in 2005. Specialists of the Ministry of Agriculture and Water Resources claim that cultivation of cotton will bring 1.28 trillion sums or almost $1 billion to the state treasury this year, almost one third more than the year before. Specialists expect this year harvest to beat the last year all-time record (3.7 million tons). No all cotton has been harvested yet, but the weather is fine which makes the harvesting easier.
Torgovaya Gazeta, No 91, November 17, 2006, p. 3
© Translated by Ferghana.Ru