Textile Enterprises Calm Response To Cotton Price Fluctuations

Since September 6th, Reserve cotton price The price suddenly rose, and the price rose rapidly from 18208 yuan / ton to 23890 yuan / ton in September 25th. In September 26th, reserve cotton prices rapidly turned to 16419 yuan / ton. In September 27th, reserve cotton prices rebounded again, reaching 21776 yuan / ton. The fluctuation of cotton prices is so great that it is difficult for cotton spinning enterprises to understand.

In September 6th, the weighted average price of cotton reserves was 18552 yuan / ton.

In September 25th, the weighted average price of cotton reserves was 23980 yuan / ton.

In September 26th, the weighted average price of cotton reserves was 16419 yuan / ton.

In September 27th, the weighted average price of cotton reserves was 21776 yuan / ton.

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For satisfaction Cotton enterprises Need to stabilize the cotton market, starting in August 10th, the state began to put 600 thousand tons of cotton reserves. Up to the beginning of September, the market was relatively stable, and spot prices also fell to a certain extent, basically stable at 18000 yuan / ton. However, unexpectedly, from September 6th, the price of cotton reserves suddenly soared, and the price rose rapidly from 18208 yuan / ton to 23890 yuan / ton in September 25th. In September 26th, reserve cotton prices rapidly turned to 16419 yuan / ton. In September 27th, reserve cotton prices rebounded again, reaching 21776 yuan / ton. The fluctuation of cotton prices is so great that it is difficult for cotton spinning enterprises to understand. At present, it is still a long time before the new cotton comes into the market. In this case, some cotton spinning enterprises have panic. The trend of cotton market, how to achieve the smooth replacement of new and old cotton, and how to promote healthy and orderly development of the industry have become a problem for cotton spinning enterprises.

Present situation: Cotton price Large fluctuation

No one could have thought that the price of cotton reserves was like a runaway horse, and the transaction price was faster than 22000 yuan / ton from 18900 yuan / ton. "We started putting cotton reserves from August 10th until the beginning of September, and the market remained stable, and spot prices also dropped somewhat, basically stable at 18000 yuan / ton. We have also predicted that the new and old cotton can be changed smoothly and can rest assured. However, after September 6th, unexpected changes have taken place in the price of cotton reserves. Zhang Xianbin, director of the economic and trade division of the NDRC, said.

Starting from September 6th, cotton prices rose rapidly every day. By September 25th, the average transaction price of reserve cotton has risen to 23890 yuan / ton, and the turnover rate of 328 grade is 24556 yuan / ton.

"This price has far exceeded our affordability." The owner of a cotton textile company complained that the cotton stocks in the enterprise were less than a month ago, and not much on cotton reserves, about more than 1000 tons. "The price is too high. The purpose of storing cotton is to stabilize cotton prices, and the higher the price is, the higher the price is. The official said, "our products are mainly made of grey cloth, and the profitability of cotton yarn is much higher than that of grey cloth this year. Cotton price is less than 18000 yuan / ton, and there is almost no profit in producing grey cloth."

Not only cotton reserves, cotton futures, electronic matching and cotton spot prices also rose sharply, the purchase price of some new cotton seed cotton exceeded 8 yuan / kg, and the futures price reached the highest level in nearly 15 years. "Now the price of reserve cotton has become the benchmark of the market. The purchase price of new cotton and the price of international cotton are all facing the reserve cotton." An authoritative person in the industry introduced. A person in charge of a company also said: "at present, the purchase price of new cotton has exceeded 9 yuan / kg in some places. The local cotton ginning factory also buys cotton at the price of 8.6~8.8 yuan / Jin. According to the current situation, the purchase price of new cotton will not be less than 19000 yuan / ton.

But in September 26th, the price of cotton reserves made the industry "big surprise". "It even dropped to 16419 yuan / ton, but this price does not represent anything." One industry insider said. In September 27th, reserve cotton prices rebounded to 21776 yuan / ton. "Although the price is relatively high, after all, it is much lower than the previous two days." Said the man.

Analysis: textile enterprises are hoarding cotton down cotton?

For cotton since September Price inflation The reason is that most people in the industry think that the gap is mainly caused by the increase of production and marketing gap and weather factors. However, it is reported that some of the textile enterprises have made a surge in cotton prices by bidding for a large quantity of cotton reserves or hoarding cotton, or reselling them.

Zhang Xianbin said: "this year's auction rules are different from previous years. We have fully considered the quantity and time of the cotton reserves this year. The auction rules are quite strict. Only the textile enterprises are allowed to participate in the auction. The circulation enterprises can not participate in the auction, and the textile enterprises can only use their own products after auction, and can not sell them. Reporters learned through investigation that there are indeed some textile enterprises have cotton sales phenomenon, but this is also a business according to production needs normal trading behavior, and hoarding cotton upturned cotton price, wind horse and cattle.

"Our enterprises are large in scale and large in cotton consumption, so there are more auction houses. In addition, we mainly do color spinning products, which require higher quality of cotton, so we sold some of the cotton in 7~8 months, mainly because the quality of these cotton does not meet production requirements. A color spinning enterprise official explained.

"We did not sell this part of cotton this year. We started in 2004. We sold part of it in August this year, mainly because the sales situation was bad at that time, and cotton prices also had a downward trend. Selling some stocks was also aimed at reducing losses. The person in charge of a large cotton spinning enterprise.

Suggestion: grasp the rhythm of buying cotton

How to stabilize the cotton market and make the new and old cotton exchange smoothly?

Zhang Xianbin said: "the auction of cotton reserves has been quite intense. We hope that some of the leading enterprises in the industry can guarantee production, and try not to participate in the auction again. We must participate in the auction of enterprises, hoping to master the pace of buying cotton, not to auction a large number of cotton reserves." At the same time, he warned enterprises that the sharp rise in cotton prices would bring about a sharp fall, and the cotton textile industry's achievements in recent years were hard won and enterprises should try their best to maintain them.

Some enterprises are in a state of panic. The vice president of China Textile Industry Association and the honorary chairman of China Cotton Textile Industry Association, Xu Wen Ying, encourage enterprises. The new cotton is about to go public, and the stock of enterprises has not reached the level of unfinished business, averaging 1.5 months. Although there are few individual small enterprises inventory, but will not affect the development of the industry as a whole, enterprises need not panic. Xu Wenying also suggested that enterprises should adjust their product structure, reduce the amount of cotton, and accelerate the development of a variety of fiber blended products.

There is an enterprise proposal: "in recent years in the cotton market, the real benefit is the circulation enterprise, the state can formulate a cotton lowest price, in order to protect the interests of cotton farmers, stimulate farmers' cotton planting consciousness."

Some enterprises also suggest that the relevant departments of the state can continue to increase the examination and approval of the auction companies. Although this year's dumping rules are very strict, it is understood that a number of circulation enterprises have participated in the auction, hoping that relevant departments of the state can continue to intensify the audit. "In the next 3~5 years, the mainland enterprises will have a great momentum in the construction of the factory, which will occupy a large part of Xinjiang cotton, and the cotton market in China will be more difficult at that time. I hope the relevant departments of the state will have more consideration in the cotton strategy." Enterprises expressed their concern about the future cotton market.

In order to stabilize the cotton market, the relevant state departments recently issued 400 thousand tons of cotton reserves. As of press release, domestic cotton prices are basically around 21000 yuan / ton. But in recent years, cotton prices fluctuate greatly, which has become a big problem for cotton spinning enterprises. Therefore, enterprises should make long-term preparations for this problem.

Gambling is undesirable.

Since September, the soaring price of cotton reserves has indeed been unexpected. When analyzing the causes of inflation, some people pointed their finger at the cotton spinning enterprises. These people also put forward their judgement basis: only the textile enterprises that participated in the auction this year have no cotton in their hands. How can they raise prices?

It is understood that there is indeed a phenomenon of cotton sales, but did not deliberately raise the price of cotton, for example, some enterprises only sell cotton that does not meet the production requirements, and some enterprises sell the cotton sold at a high price in order to avoid price risk.

For those companies that have hoarding cotton and cotton to raise cotton prices, the NDRC and the China Cotton Textile Industry Association issued a warning: the sharp rise will bring about a sharp fall, and gambling behavior is undesirable.

New cotton is on the market. Such a high cotton price will become the benchmark for new cotton prices. If so, the industry will inevitably face a situation of soaring raw material prices.

"Do not harm the whole industry for your own selfish interests." The relevant departments of the state have warned enterprises that the achievements made by the cotton textile industry are hard won. The development of the industry needs the maintenance of every cotton spinning person.