Due to low returns from cotton production, China’s cotton production has kept declining over the last few years, affecting cottonseed production.

It is estimated that cotton acreage decreased 6% in Xinjiang, 8% in Shandong, 7% in Hebei and 12% in the nation on the whole last year, compared with the previous year. As a result of cotton production decrease, cottonseed production is estimated to drop 9% last year from the previous year to a level of 11.56 million MT. The nation’s cottonseed oil production is estimated to be 166 million MT in 2009.