During the Cotton Quality Inspection Reform Summit, some mill representatives called on further reform for cotton import quota system.
Representative from Shandong Lutai Group said that Lutai is the world's largest fabric dyeing company. Lutai has a great demand for ELS, particularly Giza and Pima. It is know to all that the production of Giza and Pima is mere 150,000 tons in the world every year. However, the allocation of cotton import quota is usually divided into several batches. Thus, Lutai cannot source enough ELS to maintain its production.
This representative suggested that the government should reform the existing cotton import quota allocation method or abandon quota barrier so as to help domestic mills produce the product with higher profit margin.
