x Abu Dhabi, UAEWednesday 26 July 2017

DMCC establishes cotton centre

The Dubai Cotton Centre is a new trading platform to facilitate the cotton trade between Central Asia and the wider Asian market.

DUBAI // Dubai Multi Commodities Centre (DMCC) has formally announced the establishment of the Dubai Cotton Centre (DCC). The DCC is a new trading platform to facilitate the cotton trade between Central Asia and cotton consuming economies in the wider Asian market. The DCC will be a fully owned subsidiary of DMCC. It will source cotton, mainly from Uzbekistan, and sell it to the international trading community, small- and medium-sized companies, and end users.

The centre will provide daily spot cotton prices and offer trade finance for cotton inventories purchased by traders and stored in Dubai. "Cotton is the second agricultural commodity that DMCC has forayed into, following the success in the tea trade. With the DCC, we have created a one-stop shop for cotton buyers," said David Rutledge, the chief executive of the DMCC. "DCC, we believe, will be a crucial component in feeding major markets in Asia that jointly consume around 15.6 million tonnes of cotton each year," he said.

skhan@thenational.ae