SE Asia import less cotton

SE Asia import less cotton

WASHINGTON (Reuters): Southeast Asia will import and consume far less cotton in 1997/98 than in the preceding year due to currency devaluation and financial disruptions, the Agriculture Department said Wednesday.

In a monthly report on the world cotton market, the USDA's Foreign Agricultural Service said turmoil in Southeast Asia had "reduced prospects for consumption and imports of cotton in Thailand, Indonesia, Malaysia and the Philippines in 1997/98."

"In October, the regions' consumption and imports were expected to rise three percent from previous year's levels but USDA now forecasts a two percent decline in consumption and a seven percent decline in imports," the report said.

Largest reduction was made in Thailand, with consumption forecast down nine percent from October and nearly 30 percent from the previous year.

USDA said the region would import 902,000 tons of cotton and consume 934,000 tons in 1997/98 compared to imports of 1,001,000 tons and use of 977,000 tons in 1996/97.