Cotton: Cotton Prices Are Hard To Come By.

"Cotton processing can not be dry, all the way down all the way, all at a loss."

Zhang cotton, a Ningbo cotton buyer, told the futures Daily reporter that he recently heard complaints from the head of the ginning factory when he did Market Research in Hebei, Shandong, Hubei and Hunan.

According to the reporter, since December, although the purchase price of seed cotton in Xinjiang and the mainland has stabilized and stabilized, the price of lint cotton is still declining due to the weak market demand, making it difficult for the cotton market to form a favorable price sale situation.

According to Zhang Jiangang, there are not enough seed cotton available in the Xinjiang area. Only the seed cotton traders in the southern Xinjiang region have some seed cotton, and the cost of lint production in most local cotton ginning plants has been locked.

Because cotton resources are mainly concentrated in the hands of these cotton ginning plants, they have strong price intentions, among which hand picking cotton has a higher selling price, but the volume of goods is not large.

"Compared with the Xinjiang region, the situation in the mainland cotton area is quite the opposite."

Zhang Jiangang said that many cotton farmers are still hoarding a lot of seed cotton in the real estate area, and the mentality of selling them is still heavy.

The small cotton ginning factory in the mainland has raised the price of comprehensive processing because of its early purchase of quality cotton seeds, plus the recent decline in lint prices and the lack of demand.

Although the large cotton ginning factory in the mainland began to purchase after the fall in seed cotton prices, the purchase amount was limited, and the additional cost in the processing process was higher than that in the small ginning plant, and the management condition was not very good.

At present, cotton farmers in Hebei, Shandong, Binzhou and other places have sold about 70% of seed cotton, and nearly half of the cotton seeds in Hubei and Shandong, Ji'nan, Heze and Dezhou have not been sold.

"This year is the first year for the state to implement the target price subsidy in Xinjiang cotton region and implement the policy of 2000 yuan per ton of lint subsidy in the cotton fields in the mainland.

The implementation of the new policy has begun to play a role in the cotton market mechanism.

However, in recent years, the price of cotton in the international market has gone down all the way. The cost of imported cotton is far lower than the domestic cotton price. In addition, the backlog of national cotton storage is very serious. At present, the price of seed cotton and the price of lint cotton appear "upside down", which is a special case in the special market environment. After the market relationship is straightened out, this situation will disappear.

Li Tao, a cotton producer in Shandong, thinks that the problem of overcapacity in cotton processing industry in China is widespread, and it is difficult to form a competitive sales pattern in cotton market, which is also closely related to the disorderly competition of large and small ginning plants.

According to reporters, recently

Hebei, Shandong and other places seed cotton purchase price has rebounded to 3.1 yuan / kg, cotton seed sales price is 1.1 yuan / Jin, the small cotton ginning factory is 3 grade lint production cost in 13000 yuan / ton, and the production cost of the big cotton mill is around 13500 yuan / ton.

At present, the amount of lint that is pported to the mainland in Xinjiang is not large. Due to the large number of machine picked cotton and poor quality, textile enterprises are reluctant to purchase, while the quality of hand picking cotton is good, but the price is much higher than that of imported cotton.

I can only hope for cotton.

At present,

The main 1505 contract is consolidated at low level, with unclear direction.

There are people in the industry who believe that the market price of the Cotton Subsidy in Xinjiang has ended. The market is waiting for the cotton subsidy amount in Xinjiang. Until now, the market is not expected to be big.