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  • 5.1.1-MARKET SEGMENTS-PRICE DIFFERENTIALS

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  • Price differentials

    Chapter 5 - Market segments - Types of cotton 

     
     
    Cotton is not a homogeneous product. However, cotton is traditionally treated as a homogeneous commodity and priced against the levels of established benchmarks. The recognized benchmark for international cotton prices, the Cotlook A Index, is based on the representative offering price for a ‘basket’ of the medium grade cottons most commonly traded internationally. Those quotations refer to a common quality: Middling 1-3/32". Quotations for major growths are published daily by Cotton Outlook (www.cotlook.com). Usual price differentials for grade and staple length for most origins are published every four weeks in the ICA value differences circular (www.ica-ltd.org).