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    2013 CPPCC Proposals Deepen Cotton Circulation System Reform

    2013/3/5 16:28:00 27

    TextileCotton And Cotton Policy

    < p > the Central Committee of the China Democracy Promotion Association proposed in 2013 the CPPCC proposal to deepen the reform of the cotton circulation system and promote the healthy and long-term development of China's cotton industry.

    < /p >


    < p > the Central Committee of the people's Republic of China said that cotton is the most important natural raw material of "a href=" http://www.91se91.com/ "target=" _blank "textile" /a "and is also an important commodity related to the national economy and the people's livelihood.

    In the past two years, under the complex and severe external situation, China's unsmooth cotton circulation system has caused the pressure of the development of China's cotton industry chain. If not adjusted as soon as possible, it will endanger the healthy development of China's cotton industry chain, endanger the safety of China's textile industry, and even affect social stability.

    < /p >


    < p > in order to protect the interests of cotton farmers and meet the production demand of textile industry, the state regulates the supply and price of domestic cotton by implementing a series of measures, such as the collection and storage of cotton, the total distribution of imports and the import sliding tax.

    But over the years, cotton farmers have benefited very little from the implementation of the policy, and the textile industry which is completely market-oriented competition is facing serious problems such as cost pressures and competitiveness weakening due to the loss of market regulation of the main raw materials, and the effect of policy implementation has not reached its original intention.

    < /p >


    < p > < strong > 1. The price of cotton textile industry is greatly weakened by the policy, and the competitiveness of the cotton textile industry chain is weakened. < /strong > < /p >


    Since P, 2011, international cotton prices have continued to descend, while domestic cotton prices remain high at the bottom of the purchasing and storage price, causing domestic cotton prices to be significantly higher than the international market, and the price differential has been constantly widening, which has seriously weakened the competitiveness of China's cotton textile industry chain. The situation of cotton yarn finished products prices in the international market is lower than domestic cotton prices, resulting in the total shrinkage of China's cotton products exports, the rapid loss of international market share and the deterioration of business efficiency.

    < /p >


    < p > < strong > two, the current import management policy weakens the self-regulation ability of textile enterprises < /strong > < /p >


    < p > China has double administration of cotton quotas and sliding duties at the same time. The state also regulates the quantity and import price of cotton imports.

    Quota management and control of import volume have already caused the import of cotton can not effectively regulate the supply and demand of the domestic market and reduce the development efficiency of the textile industry.

    The state authorities also control the time, rhythm and objects of the quotas in batches, which weakens the ability of textile enterprises to adjust themselves with the market changes. Enterprises often fail to import or miss the best time to purchase cotton in the international market because they can not get quotas in time, thus facing the pressure of cotton shortage and rising costs.

    < /p >


    < p > < strong > three, cotton growers benefit directly from policy, < /strong > < /p >


    < p > because cotton purchasing and storage is not the acquisition of seed cotton directly from cotton growers, but the acquisition of processed lint, the benefits directly obtained by cotton growers are far lower than the policy expectations, and cotton processing enterprises gain more direct profits.

    The actual income of cotton farmers is only about 260 yuan for every ton of cotton stored in the country, while the income of cotton processing enterprises is more than 1000 yuan, much higher than that of cotton farmers.

    < /p >


    < p > < strong > four, the policy is not conducive to encouraging a href= "http://www.91se91.com/news/index_s.asp" > cotton < /a > quality improvement < /strong > /p >


    < p > because the policy of national cotton purchasing and storage and import management has greatly weakened the incentive function of market price and competition, the domestic cotton growers generally do not weigh heavily in the planting process, and the investment in cotton seed cultivation and planting technology upgrading is also seriously inadequate.

    In recent years, the hollowness rate of cotton in China has increased, the strength has been reduced, the overall quality has been declining, and the gap between foreign cotton quality and foreign cotton has been widening, which is more and more unable to meet the needs of textile enterprises.

    < /p >


    < p > < strong > recommendation: < /strong > < /p >.


    < p > < strong > 1. Pilot cotton planting direct subsidy policy < /strong > < /p >


    < p > accelerate the study and pilot implementation of the direct subsidy policy for cotton planting, improve the existing temporary storage and storage pricing mechanism, increase the direct income of farmers, at the same time, give full play to the adjustment function of the market on domestic cotton prices, encourage cotton growers to grow high-quality cotton, enhance the quality of cotton, and create a favorable market environment for the development of textile enterprises.

    < /p >


    < p > < strong > two, increasing support for mechanized planting and reducing the cost of cotton production < /strong > /p >


    < p > compared with the main grain crops, the degree of mechanization of cotton planting is low and labor input is large.

    With the rapid increase of labor cost in recent years, the artificial input of cotton planting links has become a major factor that restricts cotton production in China.

    Therefore, the state should increase support for domestic cotton pickers, improve the subsidy standards for domestic cotton pickers, increase the R & D input of domestic cotton pickers, and improve the mechanization of cotton planting to alleviate the pressure of rapid increase in cotton planting costs.

    < /p >


    < p > < strong > three, improve the current temporary storage and purchase price determination mechanism < /strong > < /p >


    < p > recommends that the state strengthen the construction of the cotton futures market, actively explore the price formation mechanism related to the cotton purchase and storage price and international and domestic futures, innovate the way of storing and purchasing, and continuously improve the agricultural industrialization mode of "enterprise + base + farmer". Under the current temporary purchasing and storage mode, we can discuss the form of direct acquisition, share purchase or entrustment processing by the China cotton reserve management corporation, and develop cooperation with the processing enterprises, reduce the intermediate links in the temporary purchase and storage pactions, and effectively implement the benefits of the temporary purchase and storage policy to the cotton farmers.

    < /p >


    < p > < strong > four, adjusting the current cotton import quota management policy < /strong > < /p >


    < p > the cotton import quota management mechanism should be improved, and the quota should be fixed at regular intervals.

    Publish the annual quota as soon as possible, and stabilize the market expectations of cotton growers and cotton textile enterprises.

    The quota application and issuance procedures are completely open and pparent, and the cotton import quotas are allocated according to the size of each province and region.

    From the perspective of medium and long term development, it is proposed to comprehensively reform the domestic cotton import management system, and eliminate the import quota and slip tax management on the basis of properly increasing cotton planting subsidies and protecting the interests of cotton farmers, so as to achieve the marketization of domestic and foreign cotton prices.

    < /p >


    < p > < strong > five, to solve the problem of "high tax and low deduction" of value-added tax in textile enterprises, and effectively lighten the burden of enterprises < /strong > /p >


    < p > cotton textile industry will be included in the pilot area of the State Administration of Taxation on the management of approved tax deduction for agricultural products value-added tax in some industries. For enterprises with less than a href= "http://www.91se91.com/news/index_c.asp" > cotton textile < /a >, the input tax of cotton will be increased from 13% to 17%, so as to reduce enterprise tax, improve the competitiveness of domestic cotton textile industry at home and abroad, and stabilize and promote the development of domestic textile industry.

    < /p >

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