Cotton linter import from India and US marks a sharp rise in H1

In the first half of 2024, the cotton linter import market saw a significant surge. This year, cotton linter import of China experienced substantial fluctuations. From Jan to Apr, there was a continuous increase in imports, with monthly import volume expanding. In April, the volume reached a new high for the year but then gradually declined. In the first half of the year, imports from India and the United States surged, with regions like Xinjiang and Jiangsu seeing a dramatic increase in import volume.

Due to the high prices and limited supply of Chinese cotton linter, downstream cotton linter pulp and refined cotton enterprises increased their import activities. Specifically, imports grew month by month from Jan to Apr, exceeding 10kt and reaching 12,468.1 tons in Apr, before tapering off. Imports in other months remained below 10kt. According to customs data, in June this year, the import volume of cotton linter was about 7,445.22 tons, a decrease of 22% from the previous month and a 42.6% decrease year-on-year. The cumulative import volume for the first half of the year was about 51,431.9 tons, a year-on-year increase of 64%.

In terms of import sources, India led the market in the first half of the year with 29,501.6 tons, a year-on-year increase of 139.5%, accounting for 57.4% of the total imports, thus dominating the market. India, Brazil, and Turkey were the top three origins, collectively accounting for 86.3% of the total imports.

The largest increase in imports came from the United States, with about 2,230.8 tons, a year-on-year increase of 8,044.4%, accounting for 4.3% of the total. Imports from Tanzania, Kazakhstan, and Uzbekistan also saw significant growth. However, imports from Turkey decreased considerably, with about 6,231.8 tons in the first half of the year, a 19.7% year-on-year decrease, accounting for 12.1% of the total.

In terms of destinations, Jiangsu led the imports significantly, with an import volume of about 17,429.6 tons in the first half of the year, a year-on-year increase of 208.7%, accounting for 33.9% of the total, holding over one-third of the market share. Jiangsu, Shandong, and Anhui were the top three importers, collectively accounting for 69.2% of the total, thus holding a dominant position in the market.

Xinjiang saw the largest increase in cotton linter imports, with about 2,337 tons, a year-on-year increase of 1,215.7%, occupying 4.5% of the total. Beijing and Shanghai also saw significant increases in import volume. However, Zhejiang experienced a considerable decrease, with imports in the first half of 2023 at about 367.3 tons, and nearly zero this year.

In summary, the import volume of cotton linter grew rapidly in the first half of 2024, increasing by about 64%. Imports grew month by month from Jan to Apr, with April's import volume reaching a new high for the first half of the year. India, Brazil, and Turkey were the main sources of imports, accounting for over 86% of the total. Jiangsu led the imports with over one-third of the market share, and Jiangsu, Shandong, and Anhui were the main importers, taking up nearly 70%. Notably, Xinjiang, a major production area for cotton linter, also saw substantial imports, with a 1,215.7% increase in the first half of the year. With the new cottonseed and cotton linter expected to arrive in Sep, further fluctuations in the import market are anticipated.