Cotton Shortages?

When I was at the DKC frolic last weekend I was looking for summer yarns like cotton or linen for some cooler summer knitting and found out that there really wasn't a lot available. I asked Jane from Dye-Version what was going on and she told me that the Chinese are hoarding cotton so there is less available on the world market. Here's an article from the Wall Street Journal that explains the situation. 

I looked around for more information and found the International Cotton Advisory Committee site.The information there is that after seven consecutive months of increase, cotton prices fell in April 2011. The

record high of $2.44 was reached on March 8, 2011, but was down to $1.73 per pound on April 28. These prices are considered to be very high by historical standards.

The reason given for the decrease in prices seems to be a significant slowing in demand. The very high prices, are all affecting mill use. A slowing of spinning operations and an increased switch to chemical fibers are curtailing demand for cotton and are reducing its share of world fiber use. Production is expected to increase by 11% in  2011/12. For Knitters that may mean it will be a while before we see more hand knitting yarns available in cotton.

I did buy this from Dye-Version 

It's a lovely mercerized cotton in a DK weight.

For an update on yarn prices you can read this post here.