The 2 Million 720 Thousand Ton Storage And Purchase Plan Was Announced.

Cotton prices are coming to the end of the last week of the purchase and storage, the period, the stock market and the spot market echoed. The final madness has been staged, and the price has increased by more than 500 yuan a week. Most of the textile mills have been caught unprepared. Some of the less stock enterprises have broken cotton, limited production and stopped production. The cotton mills that are struggling for this day are undoubtedly worse. The processing cost of the 21 products is only 3000 yuan.

There are two main reasons for the rise of cotton prices in the current round. The first is the closing of storage and storage, the need to pull up the shipping market and profit from the market, and the two is the reduction of resources available in the spot market.

The factors that affect the cotton price in later stage are:

Many: Although the purchase and storage is over, the normal use of cotton is still in progress. The resources available for the market are still scarce. According to the total output of 7 million tons, 890 thousand tons of imports and 700 thousand tons of cotton per month, the market can supply only about 1 million tons of resources.

Empty: short term rise too fast, technically there is a profit recovery request.

Textile exports in the first quarter showed a downward trend in volume and price, and the decline in social cotton consumption was significantly reduced by more than 15%.

The price of gauze is unable to digest cotton prices.

The state can not collect and store its own goods, and the textile enterprises can not buy the right cotton.

If cotton prices continue to rise, spinning enterprises will close sharply, because textile prices are hard to keep up with, and will enter the traditional off-season after more than a month.

In order to stabilize textiles and protect employment, the state may store and issue import quotas to increase market supply.

The difference between inside and outside cotton is large.

Editor in chief: Xu Qiyun