Challenges Passed Challenges to Come
September 14, 2009 What a year it has been. Who could have predicted the turmoil that we have witnessed? As a result, our industry has changed in an unprecedented way. We have all been affected by these changes and have seen significant and regrettable impacts.
There is no doubt that the year ahead is going to be challenging for both the trade and the International Cotton Association (ICA). Our industry remains under strain due to the global financial crisis. Patterns of global trade are placing greater emphasis on the domestic markets of China and India and the export trade route from India to China.
The big challenge will be to ensure that firms, especially the new players, operate with integrity and according to appropriate standards. To do this, we believe it makes perfect sense to have a common set of trading rules that are clear, definitive, impartial and easy for everyone to understand. Based on our history, our ethos and our experience, we feel that the ICA is best equipped to lead the way in this area and we will be focusing our efforts here during 2009 and beyond.
We also want to encourage more of our international members and new players to become actively involved with the ICA. Our plans include hosting a range of open forum sessions at key international locations. We have already held successful forums in Geneva and China, with another scheduled for Singapore in March 2010.
Another key area to focus on is our arbitration process. The number of arbitrations we are dealing with has been unprecedented and we will be looking at new ways to ensure that ICA arbitration is quick and affordable for all and that our pool of arbitrators are well trained, produce effective awards and are drawn from diverse industry sectors and locations. We aim to launch an advanced training course for technical arbitrators by the end of 2009.
Over the coming year, award enforcement will also be a priority. We will be looking at how we can make our awards more enforceable and provide advice on the procedures required to enforce those awards in different countries.
The unprecedented events of the past year have shown that we need radical thinking in the trade. Now, more than ever, there has never been a more important time for the cotton industry to work together to adapt to this changing world. The ICA has been the backbone of the cotton industry for more than 165 years, with the majority of the world’s raw cotton being traded under ICA Rules. We are as committed as ever to our members and our ethos ― the sanctity of contracts, equitable and good trading practices, impartial protection and support.
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