Cotton Prices Down In Dezhou, Shandong, Cotton Farmers Reluctant To Sell

In the past half a month, cotton prices in Dezhou, Shandong province have continued to fall, and the purchase price of seed cotton has fallen below 3 yuan / kg. Cotton farmers are reluctant to sell prices. Cotton enterprises are afraid to lose money. Some enterprises have stopped collecting, and cotton market is almost stagnant.

According to statistics, as of November 30th, 47 cotton enterprises in Dezhou had processed 39 thousand and 200 tons of lint (of which cotton from Hebei and Tianjin accounted for a large proportion), which is 56% of the same period last year.

The quality of cotton is obviously better than that of previous years. Except for the larger value of the micron, the other indexes are stronger than in previous years.

Among them, white cotton grade two accounted for 5.86%, white cotton three grade 86.8%, white cotton four grade 5.29%, light spot cotton 1 grade 1.54%.

This year cotton harvest and quality are better, but prices have dropped sharply.

The cotton planting area in Dezhou is 680 thousand mu this year. The average yield per unit area is about 520 Jin / mu. The high yield plot is 600 Jin / mu, which is the highest yield and the best quality in the past six years.

Originally wanted to sell a good price, there is a good harvest. I didn't expect that the price of seed cotton was only 3.3 yuan / kg in September. The cotton price in the past half month has dropped sharply. At present, it has fallen below the lowest psychological price of 3 yuan / Jin, which has dropped by 1.2 yuan / Jin compared with the same period last year.

The price of 3 yuan per catty is meant to be removed.

And labor costs, cotton basically do not make money, if it is hiring people to rent cotton, then it will be much worse.

Many cotton growers say they will not grow or grow less cotton next year. It is estimated that the cotton area in Dezhou will drop by more than 40% next year.

The near future

It's not easy.

It is understood that in October this year, the price of the lint market was around 14600 yuan / ton, and the market price in recent days has dropped to about 13000 yuan / ton, which dropped by 500 yuan / ton in one week, 1500 yuan / ton in one month, and the general loss that the initial purchase had not yet been sold.

People in charge of cotton prices complain that cotton has not been collected this year, and many cotton enterprises have stopped wait-and-see.

There are 85 400 ton cotton enterprises in Dezhou, and only 47 of them are processed this year. This is the lowest rate of start-up in recent years.

As cotton resources are becoming less and less profitable, half of the cotton enterprises will switch to production or collapse next year.

Due to the sharp decline in cotton price and the specific rules for Cotton Subsidy, the cotton farmers are waiting to see whether they are in the form of patch or production. The current sale schedule is only about 20%, slower than 30% in previous years.