National Cotton Purchase And Storage Policy Needs Reform And Perfection

< p > > a href= "http://www.91se91.com/news/" > National storage cotton < /a > the policy of purchasing and storage originated in 2010, resulting in the domestic cotton price higher than the international market 4500 yuan / ton.

At present, the domestic storage price is 20400 yuan / ton, while the international CotlookA index is RMB 1%, the tariff price is 14889 yuan / ton, and the difference between inside and outside cotton is about 4500 yuan / ton.

According to the calculation of 8 million tons of warehousing, the state has invested 160 billion yuan in storage and storage, which needs to pay 10 billion yuan in bank interest each year and about 1000000000 yuan in warehousing costs.

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< p > the purchase and storage policy of the national cotton store originated from the previous downturn in the cotton market. In 2010, the international cotton prices soared to 32000 yuan / ton, which resulted in a large inventory of state-owned cotton stocks.

Cotton, which was 10 thousand yuan / ton, was 2 times higher.

Another reason is to protect the interests of cotton farmers, stabilize domestic cotton acreage and cotton production, and ensure domestic cotton supply.

At the 2011 Cotton Conference, officials from the State Cotton store said, "China is" a target= "_blank" href= "http://www.91se91.com/" > textile /a "a" target= "_blank" href= "http://www.91se91.com/" > "dress less than".

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< p > following the third and fourth quarter of 2012, < a href= "http://www.91se91.com/news/" > cotton storage and storage > /a >, it is difficult for enterprises to store and store, and cotton farmers can hardly get tangible benefits from them.

But for the entire textile and garment development industry chain, it has brought heavy pressure.

The high price of cotton in China is raising the cost of raw materials in China's textile and garment industry, which is also driving down the international competitiveness of China's textile and garment industry.

In mid November 2012, there was no comparative advantage in cotton farmers' survey of cotton growers in Shandong, a major cotton producing province. Cotton farmers' enthusiasm for growing cotton was not enough.

Quota control on cotton imports has led to corruption, which has led to the purchase and sale of cotton import quotas and intensified cotton smuggling.

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< p > nowadays, a series of chain reactions are also taking place in the cotton textile industry in the middle reaches of China.

Originally small profits of the textile and garment industry is also a major impact.

The head of a private cotton spinning enterprise in Zhejiang says its own cotton mill and weaving plant, and 80% of its products depend on exports.

Spinning is now an unprofitable business. Since the implementation of the national cotton purchase policy, it has basically made no profit.

Our ton of cotton is more than 4000 more expensive than our foreign counterparts. The price of cotton yarn we import is even lower than that of the cotton I use. How do we compete? Li Wen said, assuming that his company needs 100 tons of imported cotton, he applied for 100 tons of imported cotton to the municipal development and Reform Commission, but the first year of the application will not normally be awarded to him. Generally, it will be awarded to him in second years, but generally only half of the quantity is only 50 tons. However, after the examination and approval of the provincial government is finished, it may be only 30 tons.

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< p > the whole industry is being collectively suppressed, and the ecological chain of China's cotton textile industry has changed so that some enterprises have to move abroad to find profits.

Tianhong, Bailong and Huafu set up factories in Vietnam. They not only cost less than half the labor cost, but also the Vietnamese government stipulates that foreign investment companies will be exempt from income tax for 3~4 years from the first profit year, and then the income tax of 7~9 will be reduced by half (about 12.5%).

These policies are also very attractive to China's textile and garment enterprises.

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< p > compared with the domestic production of < a href= "http://www.91se91.com" > cotton textile enterprise < /a >, it is difficult to get through the years. In 2012, cotton spinning enterprises lost all their lines.

Southwest Securities analyst Xu Yongchao believes that the internal and external Khmer price difference has hijacked the entire cotton spinning industry, and the export of cotton textile enterprises is relatively large. Cotton textile is located in the middle reaches of the textile and garment industry, and the market is completely competitive. The price of cotton yarn and cotton cloth depends on the overseas market. Chinese enterprises have no pricing power in the international cotton yarn market, so the cost of domestic high priced cotton textile enterprises is difficult to pass on to domestic and foreign downstream garment enterprises.

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< p > while the national cotton reserves that are struggling to maintain high prices, the inventory level of up to 9 million tons has been higher than the annual cotton consumption in China. The pressure on the financial sector caused by the inventory impairment and direct losses faced by the national cotton reserves has become a heavy burden.

The cotton purchase and storage policy is causing the distortion of the whole chain, and the high price storage mode is already at a dead end.

The protection and subsidy of cotton farmers and the protection of cotton planting need to be reconsidered.

The difference between domestic and foreign cotton prices has widened the competitiveness of China's textile industry.

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< p > Zhu Hongren, chief engineer of the Ministry of industry and information technology, said China's temporary cotton purchase and storage policy ensured the interests of cotton farmers and stabilized the domestic cotton prices. However, the spread of cotton prices at home and abroad has greatly affected the competitiveness of the "a href=" http://www.91se91.com "textile industry < /a".

In particular, small and medium sized enterprises, mainly cotton spinning, face particularly outstanding survival difficulties.

Experts at the meeting suggested that the state adjust and introduce relevant policies in a timely manner, speed up the reform of the cotton circulation system, improve the macro control mechanism of cotton, and achieve the market docking of domestic and foreign cotton prices.

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