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    Cotton Spinning Business Situation Is Not Optimistic.

    2013/11/25 10:20:00 32

    CottonNational StorageCotton Spinning

    < p > in order to stabilize the market expectations of "a href=" http://www.91se91.com/news/index_s.asp > cotton > /a > production, operators and cotton enterprises, to protect the interests of cotton farmers and ensure market supply, the state has implemented cotton purchasing and storage policy for three consecutive years, and the purchase price of lint has been maintained at 20400 yuan per ton, so the purchase price of seed cotton is 4.2 yuan to 4.3 yuan per catty.

    < /p >


    < p > Dezhou has more than 80 cotton spinning processing enterprises of 400 types, processing capacity of over 500 thousand tons, and this year's local total output is only about 90 thousand tons.

    A lot of enterprises are scrambled for resources to raise the purchase price. Some enterprises receive 36% yuan per kilogram of 4.40-4.50 clothes per kilogram.

    According to cotton prices, according to the current linen percentage of 36%, the profit and loss balance point of seed cotton purchase price is around 4.35 yuan / kg, which deducts the cost and interest of purchasing processing, and most enterprises are basically small or flat.

    < /p >


    < p > obviously, this price is much higher than that of outer cotton.

    Ma Junkai said that the purchase price of cotton mills is still slightly higher than the purchase and storage price, because there are 85 400 type enterprises in the whole Dezhou area, with a processing capacity of more than 500 thousand tons, less than 20% of the utilization capacity, and a serious surplus of processing capacity. The acquisition and processing enterprises often rush to purchase, some of which are more than 4.35 yuan per catty purchase, and then the processing can not make money.

    < /p >


    < p > cotton growers are reluctant to sell. They are unwilling to sell. Cotton farmers believe that this year the production is reduced and the price should be higher.

    Ma Junkai said, but a large quantity of cotton has been stored in the international market, and the domestic Treasury has also stored large quantities of cotton, and the price can not rise again.

    It is understood that the state's storage is generally from September 1st to the end of March the following year, and the storage is carried out according to the irregular market situation.

    < /p >


    < p > according to sources, cotton stocks in the national reservoir are nearly 10 million tons.

    "In the past years, the state began collecting and storing, basically 95% of the cotton production was sent to the State Reserve."

    Ma Junkai said, this completely deviated from the market economy, is the use of administrative means to intervene in the market behavior, inside and outside cotton price of nearly 5000 yuan per ton.

    < /p >


    < p > in fact, it is good for the state to purchase and store its reserves. In order to protect the interests of farmers, the enthusiasm of cotton growers is improved.

    According to Ma Junkai, such a large price difference between inside and outside is equal to the state subsidizing farmers with money. In fact, it does not fully subsidize farmers, and part of the acquisition of processing enterprises, < a target= "_blank" href= "http://www.91se91.com/" > textile < /a > enterprises, farmers get 70%, and another is the storage and storage enterprises.

    < /p >


    < p > reporter learned from many channels that cotton purchase and storage policy will no longer be implemented in 2014/2015 cotton season.

    Xu Aixia, an analyst with Everbright futures, said that the abolition of the purchase and storage next year is basically a matter of determination. After three years of storage, the cotton market has lost its market function due to lack of liquidity, and the price of the purchase and storage has raised the price, which has increased the internal and external spreads. At the same time, the high cost domestic cotton industry has increased the cost of the enterprises. After the abolition of the purchase and storage, the cotton price will fall down, resulting in a decline in planting area. But for the textile market, it may reduce the cost of the enterprise, make the price effective pmission, and the industry will circulate in a benign direction.

    < /p >


    < p > a cotton textile personage in Zhengzhou analyzed that in view of the small number of high-grade cotton circulated in the market at present, the demand for cotton could not be satisfied, and the state reserve stocks were high, so it was imperative to throw and store. In the last storage and storage year, the dumping and storage were also carried out. In addition, the price difference between the inside and outside of the stock market was too large, and the impact of throwing and throwing on the cotton price was stronger.

    < /p >


    < p > the head of a cotton spinning enterprise in Xiajin County of Dezhou city told the China Securities Journal reporter that the acquisition process was slow this year, and the purchase volume was less than in previous years. Because of its own local resources, it could receive thirty thousand or forty thousand jin a day, about half of that in previous years.

    "Even if I buy 50 thousand pounds a day, my cotton plant can process 200 thousand jin a day, and it will take four or five days to start work, and the cost of labor and electricity will be increased. Cotton spinning enterprises are basically at a low profit or no profit."

    It is understood that nearly 85 cotton mills in Dezhou have nearly stopped production this year, and no cotton purchase has been made in the past 10 years.

    < /p >


    < p > > a href= "http://www.91se91.com/news/index_c.asp" > cotton spinning < /a > the enterprise management situation is not optimistic.

    According to local cotton textile enterprises, from 2000 to 2004, Dezhou cotton processing and purchasing enterprises once reached about 800, and then eliminated backward production capacity, processing enterprises controlled around 88.

    "Indeed, there are many enterprises with idle capacity. Last year, there were 70 real processing enterprises, because many enterprises were short of funds, and the acquisition of cotton needed more liquidity than cash settlement. Some large purchase companies needed 230 million yuan in liquidity, otherwise they could not be pferred."

    Ma Junkai said.

    The above cotton textile enterprises responsible person said that most of the liquidity was social fund-raising, a small part of the local bank loans, but the interest was slightly higher.

    < /p >

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