Malaysia: Cotton and Products Annual

Introduction of a 6 percent Goods and Services Tax (GST) on April 1, 2015 increased costs and discouraged transshipment of cotton from Malaysia to nearby regional markets. Thus, 2014/15 trade figures show Malaysia export of cotton down by 61.7 percent. Domestic consumption of cotton for the domestic spinning industry hovers between 40,000 and 45,000 tons. A new spinning company from China established in late 2015 is expected to increase domestic consumption to 50,000 tons. As a result, cotton use is expected to increase through 2015/16.

Malaysia: Cotton and Products Annual