Related Keywords: affect Bangladeshi spinning sector, Bangladesh Textile Mills Association, break into local yarn market, cheaper rates, fall in consumption in China, largest cotton using country, lower prices of raw cotton, narrow profit margins, no hedging facility and warehousing system, purchase cotton at higher prices, supply raw material
The fall in consumption in China, the largest cotton-using country in the world is likely to affect the Bangladeshi spinning sector in two ways. Firstly, the slide in consumption will lower the prices of raw cotton worldwide further, which will also narrow the profit margins in Bangladesh. Secondly, other countries will break into the local yarn market as they will be able to supply the raw materials at cheaper rates.
