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Cotton output from China’s Xinjiang Uygur autonomous region is expected to fall by 11 per cent from last year in 2023 as it places an emphasis on quality over quantity.
Chinese buyers are again buying Australian cotton in anticipation an unofficial ban that has been in place since 2020 could be lifted amid a diplomatic thaw that has already benefited other sanctioned commodities.
Total cotton production in China is expected to increase by 5.8 per cent year on year, although demand has weakened, while the US’ Uygur Forced Labour Prevention Act has also hurt the market.