Dezhou Cotton Association: Reasons For Low Cotton Prices At Present

2011/11/10 13:25:00 12

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Since the launch of the new cotton market this year, the purchase price of seed cotton has been on the low side. At present, Shandong Province

Texas

The purchase price of grade four seed cotton is about 3.90 yuan / kg, down 3.20 yuan, or 44%, which is in sharp contrast to the high cotton price in the same period last year.

The main reasons for the low cotton prices are:

First, this year's world.

cotton

Output reached a record 27 million tons, while demand remained stable, with supply exceeding demand at about 25 million tons, and the price of cotton fell sharply below domestic cotton prices.

The two is domestic cotton harvest, demand and last year ratio slightly reduced, supply and demand gap narrowed.

Three, the depressed market in Europe and America, the reduction of cotton textile demand, and domestic textile enterprises.

foreign trade

Order reduction, production and operation difficulties, cotton yarn prices are difficult to upgrade.

Four, domestic labor costs and raw material costs have risen, cotton textile costs have increased, international competitiveness has declined, and foreign trade orders have been pferred to some low-cost countries in Southeast Asia.

Five is the recent decline in cotton seed prices.

At present, the price of cottonseed has dropped to 1.04 yuan / Jin, a decrease of 0.38 yuan / Jin compared with the beginning of September.

It is estimated that the price of cottonseed will be reduced by 0.10 yuan per catty under the condition of lint price unchanged. The purchase price of seed cotton will be reduced by 0.06 yuan per catty, that is, in the past two months, the seed cotton price has dropped by 0.23 yuan / Jin due to the fall in cottonseed prices.