Cotton futures have advanced this week even as other assets drop back, helped by expectations of strong demand from China.
 
This seemingly insatiable market has been hit slightly by fears that economic growth will slow from its current impressive rate, but recent reports of Chinese buying of cotton has allayed these concerns. In addition, Indian farmers are doing their bit to buoy prices by blocking transport of the fluffy white commodity in a dispute with the government over prices. The farmers are arguing that their costs are not covered by the current price level, and are demanding that the government in New Delhi act to prop up prices until the market improves.
 
Similar protests are being reported in neighbouring Pakistan, with farmers warning that livelihoods will be under threat if the government does not act. Falling cotton prices have hit farmers across the globe, with producers in the US state of Georgia reported to be switching to peanuts in an attempt to improve profitability.