The Original Sin Of Hidden Inventory Is The High Fever Of Last Year'S Cotton Price.

Cotton prices, which hit record highs last year, have made a large number of cotton growers expand cotton production and production. Therefore, cotton supply is increasing both at home and abroad this year. On the other hand, according to market feedback, cotton demand is shrinking.

In my opinion, aside from the consideration of the external factors, the demand for cotton in Southeast Fujian alone can be seen. In view of the integrity and development of the garment industry cluster, the amount of cotton used in Southeast Fujian has been very large, but the demand for cotton in this area has been decreasing compared with previous years.

The author found that because of the no longer advantages of manpower cost, many investors pferred part of their orders to Southeast Asian emerging markets with more labor cost advantages, and the industrial pfer objectively reduced the cotton demand in Southeast Fujian.

In particular, this year, according to sources from Shishi futures agency, some local cotton enterprises supply less domestic products, while supply in Thailand, Laos and other places has been increasing.

The ups and downs of cotton prices are certainly not accidental. The original sin of the hidden stock comes from the market, and the irrational market has foreshadowed the risk of this financial game.