Cotton City Undergoes A Surge Of Real Estate Cotton Impact

By the end of March, the cotton market in the mainland has come to an important time node: first, the mainland's "target price subsidy" is about to be issued. According to the market, up to now, the 9 provinces in the mainland, except the two provinces in Henan and Hunan, have all approved the subsidy scheme, basically subsidized by area, and the subsidy standard is around 200 yuan / mu, which will be put into place in April. Therefore, the market expects that subsidies and subsidies will directly affect the work of spring sowing in 2015. Cotton grower We are waiting to see.

Second, the "target price" of the new year will also be promulgated. In 2014, the target price of 19800 yuan / ton in Xinjiang was released in about the first half of April, while the mainland direct subsidy policy was released later, which caused a wait-and-see mentality and negative psychology in the market at that time. When will the target price be announced in 2015? What is the target price? How will it be subsidized? Many market players in Hebei recognize that the target price policy is crucial in 2015. Mainland market It depends on policy.

Third, Spring sowing It is about to start. According to the regulation, the spring sowing in Hebei and even the whole the Yellow River Valley generally started in the middle of April. As a result, many cotton farmers in Hebei are doing some field work, watering the land, buying seeds, plastic film, fertilizer and other agricultural products. According to Cangzhou, Baoding, Hengshui and other places seed station personnel, cotton seed sales this year are relatively slow, and corn seed sales are relatively hot. "At this crucial crossroads, the market is surging."

On the 27 day, a market source in Cangzhou told the author that as of the same day, the purchase and sale of seed cotton in Hebei province had basically stopped, and only about 1 of the enterprises were still weighing scales. Cangzhou's sporadic acquisition of better quality white cotton and its price is 3 yuan / jin (39% of lint, 10% of water), down 0.10 yuan / Jin compared with last Friday. At present, cotton seeds and cotton sales from all over the country are about 85%, reaching 90% locally.

According to the head of a 400 cotton ginning factory in Hengshui, they still have 1100 tons of cotton stock at present, which is considered to be a middle level in the local ginning plant. At present, they have two worries: first, the influx of new cotton into the interior and the real estate cotton may be impacted. According to him, at present, Hebei Cangzhou and Shijiazhuang warehouse Xinjiang cotton 3128 storehouse price is 13700-13800 yuan / ton, the 2128 level outgoing price is 14000-14200 yuan / ton, and the price of the machine picked cotton is 13100-13200 yuan / ton, which is 100 yuan / ton lower than last week. The two is the negative purchasing power of the downstream enterprises, and the weather of credit is very worried. Based on the above, they adopt a strategy of price promotion to speed up the return of funds. The official said that on the 26-27 day, they continued to reduce the price of real estate cotton by 100 yuan / ton, and promised to buy more than 200 tons at a time, allowing the profit space to be further expanded by 100 yuan / ton.

It is also understood that the number of cotton arrivals from major ports in the near future has increased significantly, mainly in India cotton, Brazil cotton and West Africa cotton. In addition, due to the end of the strike of workers in the Western ports of the United States, the United States and cotton have started their operations in succession. It is estimated that 4 and May will be the peak of arrivals. Cotton is expected to sweep across the mainland market in early April. The most important thing is the recent "yarn landing" of the outer yarns, which is still "very affordable" in the domestic market because of the existence of 1000-1200 yuan per ton of yarn. Therefore, the industry believes that after entering the April, domestic cotton prices or big fluctuations, we are already "looking neck" wait and see.