Why Cotton Growers Can'T Increase Their Cotton Production?

Cotton is basically harvested throughout the country.

At the same time, the state was cancelled.

Temporary collection and storage policy.

What is the impact of policy change on the cotton industry chain? How about cotton planting, marketing and processing? Recently, the Yiyang CPPCC has conducted a special investigation on the cotton production and marketing situation in Yiyang, Hunan province.

In 2014, 420 thousand acres of cotton in Yiyang had a bumper harvest, and the total output was expected to be more than 100 thousand tons.

The survey shows that although cotton has gained a good harvest in 2014, the acquisition situation is not optimistic. It is very difficult for cotton farmers to increase their income.

No one is interested in cotton seed production.

Liu Youwei, a community in the Yinhai community of Datong Lake District, Yiyang, has planted 12 mu of cotton and 2.5 tons of seed cotton.

"The price is too low to sell at a loss."

Liu Youwei was very helpless. In 2013, the purchase price was about 8 yuan per kilogram, down to 5.6 yuan last year.

He sold cotton for more than 10 years, losing his first time last year.

Not long ago, he collected nearly 6 tons of seed cotton at the price of 6 yuan per kilogram, which could be sold to the processing plant by turns, and the price fell to 5.8 yuan per kilogram, with a deficit of 1200 yuan.

"Neither dare to sell, nor dare to accept."

Liu Youwei did not dare to act hastily. There were two worries: first, he was unwilling to sell the harvested cotton at a low price, so that he could not even get the cost; two, if he sold cotton for sale, the price would be unstable and he might lose money at any time.

Due to climate suitability, cotton production and quality in Yiyang were generally good in 2014, with an average yield of 240 kg or more, some over 300 kg. The total output of cotton seed is estimated to be more than 100 thousand tons, and the color of cotton generally reaches 2 level of light pollution cotton, a color level higher than that of last year, and the fiber length is 27 to 29 millimeters, which has increased by 2 millimeters.

But high yield is not necessarily good harvest.

Cotton farmers' piles of cotton are unnoticed, subject to temporary purchasing and storage policies.

The price of cotton yarn and textiles declined, and seed cotton purchase price continued to decline.

In the middle of November 2014, about 6.4 yuan per kilogram, and now it has dropped to 5.6 yuan per kilogram, still showing a downward trend.

Yuanjiang Chai pan Zhou town has 15 thousand mu of cotton in 2014, and its output per mu is more than 250 kilograms. At present, more than 500 tons of seed cotton have been overloaded in the whole town.

Price trend unknown

Enterprises dare not rush to buy

What is the impact of policy change on Yiyang's cotton industry chain? With questions, we visited cotton growers and processing enterprises everywhere.

The abolition of the temporary storage policy means that the cotton purchasing and processing enterprises must sell themselves. In the situation of the low price of cotton, the enterprises do not dare to buy it freely.

By the end of November 2014, only 11 Datong cotton processing and purchasing enterprises in Yiyang City, only the Datong Lake Fuhua cotton and ramie oil company and the Nanxian Chang Guan textile raw material Co., Ltd. had acquired 3000 tons of seed cotton, about 6 yuan per kilogram, and processed into lint for about 13500 yuan to 13800 yuan per ton. Basically, the order was bought and processed, which only guaranteed the operation of the brand.

It is understood that 11 cotton types 400 in Yiyang.

Annual processing of lint 10000 tons or so, at least 3000 tons per year to be more than 3000 tons of cotton in order to maintain profitability.

In 2014, cotton production in Yiyang was more than 100 thousand tons, which could only meet half of the raw material requirements of the existing 400 type ginning plants, and the phenomenon of overcapacity would be more prominent if cotton growers were reluctant to sell and market demand was not strong enough.

Yiyang Yinyuan cotton and hemp Co., Ltd. has not yet started its purchase, mainly relying on the acquisition of other agricultural and sideline products to maintain its basic operation.

"Low prices of cotton farmers do not want to sell, market demand is not strong, enterprises can not get out of trouble."

The company official said that in 2013, Fuhua invested about 10000000 yuan to expand warehouses, upgrade equipment and build a national reserve point.

Last year, the abolition of the temporary purchase and storage policy was equivalent to a busy business.

It is also a difficult problem for cotton purchasing and processing enterprises to acquire loans.

The demand for cotton storage and storage is large. Most of the 11 type 400 cotton processing and purchasing enterprises in Yiyang rely on independent financing, with a monthly interest rate of 1.3 to 1.5 points, with a total of 1.8 points.

After the abolition of the purchase and storage, the capital turnover period of cotton processing and purchasing enterprises will be greatly extended, and the capital occupied will increase exponentially.

Therefore, enterprises temporarily do not cotton, is also helpless.

Reasonable adjustment of planting structure to ensure production and income increase

Wang Zhan, director of the village committee of the North Village town of Datong Lake District, wrote an account to the author: last year he planted 11 mu of cotton, 250 kg of seed cotton per mu, and the purchase price of seed cotton at 6 yuan per kilogram, earning 1500 yuan per mu, while the land rent and production cost amounted to 1200 yuan, and the net income per mu was only 300 yuan.

Planting 16 mu of rice, 450 kg of early rice per mu and 550 kg of late rice, are purchased at the lowest protective price in the country, and the output value per mu is about 2700 yuan. The corresponding production cost in the two season is 1460 yuan per night, 1240 yuan per mu net income, 4 times more for cotton seed income.

Wang Zhan sighed: "under this situation, only cotton can be changed to grain this year."

Guo Yenshan, director of the supply and Marketing Cooperative of Yiyang, agrees with Wang Zhan's statement. He believes that after the state cancels the temporary storage and purchase policy, we must face up to the current situation of low cotton prices and the lack of market demand. Government departments at all levels shall actively guide and respect the wishes of cotton farmers, rationally adjust their planting structure, and reclaim cotton fields in high terrain and difficult to convert into paddy fields, and replant corn and other dry crops.

However, most cotton fields do not have matching facilities for irrigation and water conservancy. They need extensive land formation and involve a wide range, which is difficult to solve by cotton farmers.

Guo Yat Shan suggested that government departments arrange special funds to implement the pformation of farmland infrastructure and support the land leveling and dry land conversion projects in cotton fields.

In addition, the supply and marketing department should remind the cotton growers that there is a hidden danger of fire safety and easy to mold and produce worms. Cotton growers should actively face the current situation and sell them as early as possible.