ASHGABAT (Fibre2fashion.com) – Turkmenistan recently held a global auction of raw cotton in which buyers from many countries participated.

The State Commodity and Raw Materials Exchange of Turkmenistan is the major economic institute of the country, carrying out function of a principal body of state regulation of export-import transactions. It is a universal stock exchange, accepting and realizing through the tenders various commodity and material assets, except for objects of the intellectual property, product of arts and the real estate. Participants of the exchange tenders can be the enterprises and the organizations of all patterns of ownership, citizens of Turkmenistan and other states by purchase of a broker place or the conclusion of the contract on service with brokers of a stock exchange.

The auction was organised by the Turkmen State Commodity and Raw Materials Exchange, which is the sole selling agent for cotton in the country.

The Turkmenistan government considers the cotton farming sector as a strategic sector, since it is one of the highest export income generators. The country has produced more than 1.5 million tons of raw cotton during the 2011 season. The major export destinations are Russia, China, South Korea, Great Britain, Indonesia, Singapore, and Turkey. However, according to the U.S. Department of Agriculture, cotton production in Turkmenistan is down 18.8%.

Turkmenistan Cotton Production by Year

Cotton is grown in Balkan, Akhal, Mary, Lebap and Dashoguz provinces and there are around 36 ginneries which process the cottonseed. The country grows both the medium and long staple quality of cotton. While private farmers grow most of Turkmenistan’s fruits and vegetables, all production phases of the main cash crops – grain and cotton – remain under state control.