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    Cotton Purchasing And Storage Policy Urgently Needs To Change Cotton Will Not Repeat The Mistakes Of Soybean

    2013/6/18 9:57:00 98

    CottonCotton Purchase And Storage PolicyCotton Market

    At present, China's cotton industry is facing many difficulties. Spin The conflict of interests between enterprises is actually the intensification of the contradiction between state regulation and market regulation, which is mainly based on the policy of purchasing and storing, import quota policy. The following two aspects are analyzed.


       Purchasing and storage policy: the state is looking for a long-term mechanism to balance the government and the market.


    After experiencing the "Craziness" of cotton in 2010, the temporary cotton purchase and storage policy was implemented in 2011 from the approval of the State Council.


    State purchasing and storage has indeed lifted the price of cotton in China, and even played a supporting role in stabilizing the global cotton prices. However, this policy is facing great difficulties. On the one hand, the current purchasing and storage price is not enough to mobilize the enthusiasm of cotton growers to grow cotton. In 2012, the area of cotton planting in China decreased by about 6% to about 74 million 80 thousand mu, and according to the May cotton production survey of China cotton information network, the sowing area of cotton in 2013 was 70 million 650 thousand mu, which was 4.6% lower than that in the same period last year. On the other hand, the high cotton prices caused by the purchase and storage policy have seriously damaged the interests of textile enterprises. Our country is textiles. clothing Important exporters, but the cotton textile industry is facing serious challenges. In addition to the weak demand for export market, the erosion of RMB exchange rate, the fierce competition in the international market, and the continuous warming of trade protectionism, the increasing cost of labor and raw materials has made China's traditional trade advantages lose. 20400 yuan / ton does not limit the purchase and storage, making the circulation of cotton resources in the spot market very limited, especially the high-grade cotton, and the price is rising steadily.


       Import policy: cotton Will it become "second soybeans"?


    The first agricultural and sideline products imported from China are soybeans, followed by livestock products and cotton. On the issue of cotton imports, the state is also in line with the original intention of ensuring the stability of China's cotton production, but the import quota policy adds all the pressure to the textile enterprises. Continuous price upside down, up to 6000 yuan / ton of internal and external spreads, even quotas are sold to 3300 yuan / ton, textile enterprises to survive even more difficult.


    On the issue of cotton imports, Du Min said at the Eighth China International Cotton Conference that cotton should not repeat the mistakes of the soybean market, mainly because of the domestic quota policy and the long chain of cotton industry. It was not easy to be controlled. However, President Ke Bingsheng of China Agricultural University put forward different opinions. He thought cotton imports would continue to increase, especially after the cotton market. In addition, the quality of domestic cotton is not good. It is alleged that cotton grades are lower in some areas this year. Cotton enterprises mix 5 grade cotton and higher grade cotton together to form a cotton grade storage with a grade of 4. Therefore, textile enterprises generally reflect that this year's cotton reserves are of low grade and poor quality, and even Xinjiang cotton is also doped with low grade cotton. Even so, under the quota restriction, textile enterprises can not use imported cotton with high quality and low price. At present, the quality of cotton has affected the production of high count yarn in textile enterprises, and has also had a negative impact on China's cotton brand.

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