Boom And Bust, &Nbsp, And Cotton Prices Will Fall Into A Strange Circle.

In many parts of Shandong, cotton prices have plummeted, which has led many cotton farmers to cotton and cotton in advance.

The direct reason for the fall in cotton prices, the injury of cotton growers, and the desolate cotton market were last year's

The sharp rise and fall of prices has become a common phenomenon in the agricultural market, especially in recent years.

Last year, garlic, ginger and cotton were dubbed "garlic ruthless", "Ginger you army" and "cotton palm" because of soaring prices, but after a short year, the prices of these farm products plummeted.

Many experts believe that fluctuations in prices are not only objective factors for the supply and demand of disasters, but also the factors that lead to the disconnection of farmers' high price, the increase of planting area, the low price and the reduction of planting area, and the factors of fund speculation.

They suggested that, on the one hand, we should establish a monitoring mechanism for the price movements of agricultural products, strengthen the initiative and effectiveness of state regulation, improve the linkage mechanism between price fluctuation and low income subsidies, and on the other hand, establish a large agricultural product planting plan to increase the possibility of basic balance between supply and demand.

And state regulation should be carried out more by market means to prevent excessive injury to the economic fundamentals.

Li Jian, director of the Ministry of Foreign Economic Research of the Ministry of Commerce, believes that the key to deal with the sharp rise and fall of agricultural products is to establish a coordination mechanism.

China's agricultural production is still in the household production and decentralized household production and operation, without scale, vulnerable to large-scale capital control.

In western countries, the production of agricultural products is characterized by intensification and scale. Moreover, farmers set up their own coordinating bodies such as farmers' associations to coordinate their agricultural product acreage according to the market situation every year, which is similar to achieving the quota production effect, so that the annual output and price base of agricultural products will remain stable.

China should also have such a mechanism, but it takes a long time to establish it.

The head of a large textile enterprise suggested that Xinjiang should be a few rare cotton suitable for high quality cotton cultivation in the world. The cost of cotton production is low and quality is good. The state should guide Xinjiang to develop this advantageous industry through policy support, strengthen Xinjiang's strategic position as a cotton supply area, and ensure the cotton planting area and supply in Xinjiang.

Wang Qian, editor in chief of the first textile network, thinks that the sharp rise and fall of cotton prices is a special situation in the past ten years. The key to solve these problems lies in national regulation.

This year's first set of 19800 yuan / ton of open storage price is the embodiment of regulation, which has played a certain role in stabilizing cotton prices and preventing cotton prices from falling.

The difference between this regulation and the past is that the previous purchase price is the price fixed by the state, so it is an unfixed price.

This year's reserve price is the fixed price set by the state after considering the domestic and international factors. This year's storage will be sold at this price.

It is estimated that the regulation of cotton prices in the future will be regulated first by setting up the reserve and storage price, and it is foreseeable that the price of cotton purchase and storage will continue to rise every year.

After the crash, what worries people is skyrocketing.

Zhang Yanlin, research director of CIC, said that if cotton growers are affected by the market situation again and adopt blindly follow the wind planting plan, the sharp reduction of cotton production area will greatly affect cotton production, which is bound to set off a new round of cotton price "roller coaster", so that the industrial chain is again frustrated.

Affected by this high frequency price impact, some SMEs in the industrial chain will be pushed to the edge of survival and will further restrict the development of the industry.

In fact, this worry is likely to become reality next year.

Ma Junkai said that many farmers have been pulling cotton seeds for wheat.

Judging from the current statistics, the cotton planting area in Dezhou will be reduced to 1 million 400 thousand mu next year, a decrease of 1/8 over the same period.