Cotton gains as global stockpiles head higher

Cotton is set to trade between 70 US cents and 80 cents a pound this year as China, the biggest buyer, boosts stockpiles, and global inventories climb to an all-time high, according to Australia & New Zealand Banking Group Ltd.

World reserves may climb to a record 18 million metric tons in 2012-13, Singapore-based analyst Victor Thianpiriya said in a report on Wednesday. China's inventories may total about 10 million tons, more than enough to supply its needs for a year, he said.