Industrialization Helps Xinjiang Respond To Cotton Price Fluctuation

What will be the price of cotton after opening the scale in 2011? Xinjiang cotton group and autonomous region's supply and marketing cooperatives answered cautiously.

According to the survey, the lint inventory of enterprises with production capacity above 1 million 200 thousand spindles in China reached 1 million 236 thousand and 700 tons, and the inventory could still be maintained for a month or so with the monthly average lint consumption of 90 tons.

A large stock of Xinjiang cotton

The local cotton business analysis believed that the cotton price rose in 2010, cotton farmers, cotton merchants,

Ms. Li, an individual industrial and commercial household in Hami, Xinjiang, is not optimistic about cotton prices in 2011. She said that first, the adjustment of the national macroeconomic policy has tightened up, the difficulty of increasing the loan amount of the enterprises has increased, and the shortfall in the acquisition of cotton funds has increased. Two, the interest rate of banks has increased, the pressure on enterprises to repay loans has increased, and they dare not lend money. The three is affected by the international textile market, and the order of the downstream enterprises has been reduced and underemployment.

All these will result in the low cotton prices in 2011.

She said that she had been doing cotton buying and selling business for a long time, and learned from cotton growers that most cotton farmers still had high expectations for cotton prices in 2011.

Cotton farmers believe that they will reach the high level of 12 yuan per kilogram in 2010.

Such expectations are not cotton farmers' fancies. Most cotton growers believe that the cost of seed cotton has risen sharply in 2011, resulting in a reduction in cotton prices.

Zhao Xinmin, deputy director of the Xinjiang agricultural production and Construction Corps eight division Shihezi general yard, told the author that the high price in 2010 caused the overall expectation to rise. In 2011, the cost of seed cotton increased overall, which was more than 40% higher than that in 2010.

He calculated that if cotton purchase price was less than 8 yuan per kilogram in 2011, cotton growers would not earn much money.

In the five spring of the stone yard, Chen Zongying lost the cost of planting cotton in 2010 and 2011.

Fertilizer: 67 yuan / bag in 2010, 80 yuan / bag in 2011.

Plastic film: 1 kg / 10.5 yuan in 2010, and 12.8 yuan in 2011.

Seeds: 7 yuan / kg in 2010, 12 yuan / kg in 2011.

Labor: 2010 maximum 9 yuan / hour, 2011 14 yuan / hour;

Pesticide: 2011 increased by 20% compared with 2010.

Pick up expenses: in 2010, from 1.4 yuan per kilogram in the past year to 2.5 yuan / kg, the price in 2011 will be 2.5 yuan / kilogram, and it is expected to reach 2.8 yuan / kg.

With water and electricity charges, the cost per mu is about 2000 yuan.

Chen Zongying said that according to a relatively good yield, 400 kilograms of seed cotton was collected in an acre area, which was purchased at 8 yuan / kg, and the output value of Mu was 3200 yuan. After deducting the cost, it could still net 1000 yuan per mu. If the net income of an acre reached less than 1000 yuan, it would not be cost-effective to grow cotton.

For the recent downturn in cotton prices, the industry said that it has long been accustomed to this kind of repetition, which has been coming for many years, but the high price in 2010 is a bit out of line, and I hope it will not be too low in 2011.

Many textile enterprises in Xinjiang expect cotton prices to rise in 2010, which will affect the price of cotton in 2011. But they still paid cotton advance payments to Yongxing and cotton acquiring company earlier.