China: Cotton Imports May Be 40% Less Next Year

China consumes a third of the world's cotton, but may import 40% less of the fiber next year on expectation that domestic production will reach a 20-year high, the U.S. Agriculture Department said.

Imports may decline to 1.1 million tons, or 5 million bales, in the year beginning on August 1st, the Department's Foreign Agricultural Service said in a report. Imports are expected to more than double to 1.83 million tons in the current marketing year, the report said.

The U.S. is the dominant supplier of cotton to China. Fewer purchases by the world's most populous nation may crimp New York cotton futures, which have gained 11% this year. About 60% of the 870,059 tons of cotton …