NDRC: Downward Pressure On New Cotton Prices

With the purchase of new cotton has begun,

At present, the China cotton reserve management company plans to collect and store 24300 tons of cotton in 2011, which has been closed for fifth consecutive working days.

Despite the fact that the number of cotton stored and stored in the Central Cotton store has remained zero, the effect of the minimum purchasing and storage policy has been revealed.

With the acquisition of new cotton, the new year cotton will be on the market, but the price will continue to rise slightly.

However, the global pattern of high yield of cotton is testing the sustainability of policies.

According to the China Cotton Association, cotton production in the 2011 cotton year (from September 2011 to August 2012) will reach 7 million 380 thousand tons, up 11% over the same period last year.

Gao Fang, executive vice president and Secretary General of the China Cotton Association, held the national cotton situation analysis conference held in Beijing on 15 July. Since the planting of cotton since the end of August, the climate of the whole country is relatively suitable. The yield per unit area is higher than the previous year, and the trend is a good year.

Among them, the climate in the Yellow River River Basin and Xinjiang cotton region is suitable.

According to Gao Fang, the problems faced by the textile industry in 2011 are still very complex, and there are great difficulties in the rapid growth of the industry.

Therefore, the growth rate of the textile industry will continue to slow down in the new year, and cotton demand is expected to remain at the level of the previous year.

Internationally, most cotton producers in the main cotton producing region will have a bumper harvest in 2011, and output will increase significantly. Demand will not change much. Supply and demand will be improved. Supply will be slightly larger than demand. Cotton prices will still have downward pressure.

On the same day, Zhang Xianbin, director of the State Economic and Trade Commission of the national development and Reform Commission, also admitted that the new year's domestic and international cotton harvest is international.

In view of the above problems, Zhang Xianbin thinks that cotton work in 2011 has eight main aspects: first, increase publicity efforts, effectively implement the measures of collecting and storing, protect the interests of cotton farmers; two, rectify the market order; three, ensure the supply of funds; four, ensure the normal operation of the purchase and sale of enterprises; five, make full use of the international market in macro regulation and control; six, actively and steadily push forward the reform of cotton quality inspection system; seven is the development of textile industry; eight is to stabilize cotton production, the state should further increase support, and increase the research of cotton mechanization suitable for the national conditions.

Zhang Xianbin finally appealed to all sectors of the industrial chain to strengthen self-discipline, empathy, and jointly safeguard the healthy development of the cotton industry.

Gao Fang also said that the new year has launched a temporary reserve plan. If the market price falls below 19800 yuan per ton, it will open up and store up. If it is above 19800 yuan per ton, it will follow the market.

There is a policy of purchasing and storing the bottom. It is expected that the domestic cotton market will remain stable in 2011.