Cotton Storage And Storage 10 Days No Deal &Nbsp; Shandong Textile Enterprises Are Still Facing Difficulties.

The temporary storage and purchase policy, considered by the industry as the "minimum protection price" of cotton, has not been traded since the implementation of the policy in September 8th, 10 days after the first day of Friday.

Recently, reporters visited some cotton producing areas and textile enterprises in Shandong, and learned that cotton spinning enterprises are still facing greater pressure. The current situation of large scale production and production restriction has not been effectively alleviated.

Experts believe that the policy of cotton purchasing and storage plays an important role in improving the enthusiasm of cotton farmers and avoiding the risk of textile industry. But at the present time, it is still necessary for textile enterprises to get out of the predicament.

Raising the enthusiasm of cotton farmers

Although the late harvest of cotton has made a lot of rain, it has affected the quality of some cotton, but looking at it is almost mature.

To prevent the phenomenon of "cheap cotton injury" caused by the bumper harvest of cotton, China has implemented a temporary cotton storage and storage policy this year. The price of the standard lint is set at 19800 yuan / ton.

Although no single deal has yet been made, the impact on the market has emerged.

Ma Junkai, Deputy Secretary General of Dezhou Cotton Association, said that this year's policy of purchasing and storage is different from the biggest feature of the past. It is the first open purchase, which is very advantageous for stabilizing cotton prices, and cotton prices will definitely not fall.

Jin Pingshun has high hopes for this year's harvest.

He said that the lowest purchase price for farmers is for farmers.

Many cotton growers told reporters that planting cotton is hard work and labor, coupled with the bad market situation in the past few years, so many cotton farmers give up planting cotton instead of planting grain. Only those sands and saline soil suitable for cotton planting continue to grow cotton.

This time, the state adopted a minimum purchase price to protect farmers' hearts.

Cotton textile industry raw material tension eased

Dezhou city of Shandong province is one of the key cotton producing areas in China.

In 2010, the cotton planting area in Dezhou was 1 million 550 thousand mu, 32% less than that of last year, but this trend has been reversed this year.

Ma Junkai, Deputy Secretary General of Dezhou Cotton Industry Association, said that the cotton planting area in Dezhou was about 1 million 600 thousand mu this year, an increase of 50 thousand mu over the previous year, and the growth of cotton was better than last year, and the output is expected to increase.

The latest report of China Cotton Association also shows that cotton production is expected to reach 7 million 480 thousand tons this year.

Yu Dianping, director of Plant Protection Station of Agriculture Bureau of Xiajin County, Dezhou, said cotton prices rose last year, and seed cotton prices reached nearly 15 yuan / kg, which led to the enthusiasm of cotton growers.

The cotton planting area of Xiajin county is 544 thousand and 800 Mu this year, which is higher than that of last year.

In the future, if prices can be stabilized, the planting area will be stable, and the cotton security of the country will be safeguarded.

The increase in cotton production and the gradual stabilization of prices have eased the raw material and cost pressures of many cotton processing and textile enterprises.

"In the past, the large and large price of cotton caused serious speculation in the industry, the risk of business increased, the orders were mostly short orders, and a lot of risks could be evaded after the stable price of cotton."

Ma Junkai said.

Ren Quanyuan, general manager of knitted Limited by Share Ltd of Ji'nan head of state, said that the relative stability of cotton prices in recent years has promoted the stability of cotton yarn prices. For downstream knitting industry, this is conducive to establishing long-term cooperative relationship with customers.

This year's cotton production will create conditions for raw material supply and price stability.

Cotton spinning enterprises need time to get out of difficulties.

Some cotton textile enterprises reflect that although the price of yarn has stabilized, the pattern of oversupply of cotton yarn market has not fundamentally changed, and sales situation is still grim. It is still necessary for textile enterprises to get out of the predicament.

Reporters learned that with the August cotton prices stabilized, cotton yarn prices have stabilized, sales faster than earlier, but the current price is difficult to raise.

The price of cotton yarn dropped by more than 10 thousand yuan per ton, or nearly 1/3, at the highest price in the early March. This downward trend has made it difficult for many enterprises to slow down.

As new cotton is on the market, cotton resources in the market are more abundant, and cotton prices are unlikely to rise substantially.

Zhu Beina, President of China Cotton Textile Industry Association, said that cotton prices rose sharply last year, and cotton textile enterprises got substantial benefits. Cotton prices fell sharply this year, and the enterprises encountered great difficulties.

From July to the beginning of August, the period of falling prices was also the most difficult period for cotton spinning enterprises.

Take Shandong Dezhou as an example, Dezhou has 397 textile and garment enterprises above Designated Size, more than 180 of which are cotton spinning enterprises, and the cotton spinning capacity is 1/7 of Shandong and 1/20 of the whole country.

At present, the local small and medium-sized cotton spinning enterprises start and stop. In general, 80% of the textile enterprises are in the state of limiting production and shutting down production. Some enterprises are afraid of high temperature and high tide environment equipment rusty and can not recruit workers when they return to work, so they have to rush to the scalp production. At present, there are still no signs of recovery of textile enterprises, and textile enterprises are generally not optimistic about the latter market.

Wang Sishe, general manager of Dezhou Hengfeng Textile Co., Ltd., said that the industry's current pressure is still low market demand, insufficient orders and less export orders.

"Because the price of downstream yarns is too low, cotton spinning enterprises, especially cotton textile enterprises, produce a ton of cotton yarn quotations, which are only less than 5000 yuan compared with the required cotton prices, except for warehousing and processing and labor costs, and the profits are very low or even low."

According to Gao Fang's analysis, the cotton spinning industry is facing greater domestic inflationary pressure, financing difficulties and increasing costs. The international economic situation is changing, demand rebounded, the RMB exchange rate continues to appreciate, international competitiveness is weakened, exports are uncertain, prices of labor, raw materials, energy and other kinds of materials are rising, costs are rising too fast, and enterprises are hard to digest.

Experts and industry people suggest that we should continue to pay attention to and support the domestic cotton production, improve the enthusiasm of cotton growers through subsidies and guide price protection, and adopt green credit channels and special funds to guide cotton textile enterprises to carry out upgrading and upgrading, improve product added value, timely release information of cotton cotton spinning products, increase the pparency of industry information and so on, to guide textile enterprises out of the predicament.