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    The Main Reason For The Decrease Of Cotton Imports At Jiangsu Port

    2015/1/11 18:05:00 12

    Jiangsu PortCottonImport Volume

    The rapid rise in domestic cotton stock has weakened the import demand.

    It is at the moment when our new cotton concentrates on the market.

    Due to the large scale deployment of machine picked cotton in Xinjiang and the implementation of the policy of supplementation of cotton producing areas in Xinjiang, the enthusiasm of cotton farmers to sell cotton has greatly increased. This year, the number of new cotton stocks has increased significantly, resulting in a rapid increase in the number of warehouses.

    According to the cotton warehouse branch of China Cotton Association, 148 warehouse members were counted. As of the end of October, turnover of commodity cotton in China

    Total inventory

    For 922 thousand tons, an increase of 815 thousand tons, an increase of 524 thousand tons compared with the same period last year.

    In the downstream textile industry market demand has not yet been improved, the domestic cotton supply increased, inventory increases correspondingly weakened the import demand.

    China's textile industry is weakening and the substitution effect of cotton yarn is enhanced, which inhibits the demand for cotton.

    Affected by international economic turbulence, cotton price fluctuations and labor costs rising, the domestic textile industry continues to slump.

    According to the National Bureau of statistics, the added value of China's textile industry increased by 6.5% in the 1-10 months of this year, an increase of 2.5 percentage points from 9% in the same period last year.

    The sluggish downstream market has led to a continuous decline in domestic cotton demand, falling from the annual high demand of 12 million tons to the annual consumption of about 8 million tons in the past two years.

    In addition, many enterprises are restricted by China's cotton import quotas to import cotton into imported cotton yarn to meet the demand for cotton.

    2013/2014 cotton year (2013.09 to 2014.08) China's total imports of 2 million 25 thousand tons of cotton yarn, an increase of 4.2% over the same period last year.

    According to Chinese customs statistics, 1-10 months in 2014, China imported 1 million 640 thousand tons of cotton yarn.

    The slowdown in the domestic textile industry and the substitution of imported cotton yarn have weakened the import of cotton.

    demand

    。

    Global cotton prices continue to decline, and import wait-and-see sentiment increases and inhibits imports.

    Since the beginning of global cotton prices in early 2011,

    Cotton price

    Long term in the downstream channel.

    This year, affected by the downturn of textile industry and the lack of market demand, the price of cotton in the international market has continued to decline. In addition, the US government expects that cotton production will exceed demand in five consecutive production seasons. In November 24th, New York cotton futures price dropped to 58.53 cents per pound, the lowest level in 2009. On the same day, CF1505, the main cotton contract of Zhengzhou commodity exchange, was the lowest point in nearly five years, 12 thousand and 300 yuan per ton.

    Affected by this, domestic downstream enterprises to reduce cost upside down, reduce losses, reduce inventory and buy with each other.

    According to the sampling survey of the national cotton market monitoring system, as of November 13th, the average daily use of cotton samples was 24.6 days, down 15.2 days from the same period.

    Since November, the number of cotton exports to main ports in China has continued to decrease, and the total volume has dropped to eighty thousand or ninety thousand tons.

    The downstream business has a strong wait-and-see sentiment and has inhibited the import of cotton in China.


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