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The International Cotton Advisory Committee (ICAC) reported that in September 2012, international cotton prices declined slightly, whereas Chinese cotton prices increased a little bit. This might indicate price directions over the next few months. In China, cotton prices in 2012/13 will be supported by the minimum support price policy, under which the government is organizing daily purchases of new crop cotton between September 2012 and March 2013. In the rest of the world, the pressure of accumulating stocks, combined with weak demand, could drive cotton prices down.
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