A radical change may be expected on US import market for cotton bed sheets (category 361).
Taking advantage of its quota-free shipments to the US market, India occupied the leading place in the past years, even gaining new shares in 2004.
US imports from India rose 20% in volume terms to 13.6 million pieces in the past year while surging 44% in value terms to US$44%.
Shipments from India were already up 51% and 75% in 2003 in volume and value terms, respectively.
Total US imports of cotton sheets in category 361 increased by 18% in 2004 to 89 million pieces while up 30% in value terms to US$668 million.
A 20% rise in average import price of bed sheets from India did not affect US orders to this country in the past year.
In sharp contrast with their competitors, rivals in Pakistan were again confronted with a US quota in 2004.
The limit was even reached after US imports rose 18% in volume terms with an embargo imposed from 6 December, as a result.
Since import prices of Pakistani bed sheets are much lower at US$6.74 per piece compared with US$10.31 for Indian sheets, a surge in shipments from Pakistan may be expected in 2005.
After benefiting from a duty-free access on EU's market, Pakistani exports are subject to an anti-dumping duty since April last year. Effective from 1 January 2005, they also lost their preferential access to EU's market.
Pakistani trade with the European Union could be rapidly diverted to the US market, as a result.
Other suppliers are also threatening Indian exporters, such as competitors in Thailand, Bahrain, and obviously in China.
Thai share of the US import market for cotton bed sheets surged from 1% to more than 10% in volume terms in only two years.
Until now confronted with a low US limit, China's suppliers could take advantage of the elimination of quota fees averaging US$4 per sheet in category 361.
China prices could therefore fall from their level of US$12.34 per piece reached in 2004.
Bahrain and Turkmenistan are offering very low prices on their side that will help them in competing with other suppliers.
