2015 When Will Cotton Target Price Subsidy Forecast Subsidy Be Issued?

In November 4, 2014, relevant departments held a joint inter ministerial meeting on cotton target price reform, and the quota subsidy for cotton in the mainland was 2000 yuan / ton. The coverage covered Shandong, Hubei, Hunan and Hebei.

The 9 provinces of Anhui, Henan, Jiangxi and Gansu will be subsidized in the following years.

60% of the subsidy is based on the upper limit of 2000 yuan / ton, which seems to tell us two answers: first, there are still subsidies for cotton cultivation in the mainland; two is the mainland.

The general subsidy standard.

It is understood that the target price of cotton in Xinjiang in 2015 was 19100 yuan / ton, 700 yuan lower than last year's price.

When the average market price (refers to the seed cotton purchase price, not the lint sale price) is lower than the target price during the price period, the state subsidize cotton producers, and when the market price is higher than the target price, no subsidy is granted.

The price in 2015 will be the same as last year, still in 9-11 months.

Taking the national cotton market monitoring system data as an example, the average market price of cotton seed cotton in the 9-11 month of 2014 was 12957 yuan / ton. Up to now, the average market price is 11441 yuan / ton this year, and the difference between them is 1516 yuan / ton, which is higher than the difference between the average market price and the target price in 2014.

Although the above assumption is based on the unilateral data, at least it shows that the subsidy standard of Xinjiang will not be reduced because of the reduction of target price this year, because the market price also has a big decrease.

According to a survey report of Xinjiang agricultural experts, in 2014, the cotton farmers in Xinjiang (excluding Xinjiang production and Construction Corps) received an average subsidy of 444.39 yuan per mu (of which 267.63 yuan per mu area was subsidized, with an average yield of 176.76 yuan per mu).

In 2014, there were differences in the amount of subsidy granted to cotton farmers in the provinces of the mainland. In addition to Hubei's subsidies in terms of area and production subsidies, the rest of the provinces were subsidized according to their area.

After calculation, the average subsidy amount of the 9 provinces in the mainland is roughly 184.2 yuan / mu, and the subsidy standard should account for 41.5% of the average Xinjiang standard.

If the mainland is based on 60% of Xinjiang's subsidy, the upper limit is not more than 2000 yuan / ton. According to the market this year, the Cotton Subsidy in the mainland is likely to be 2000 yuan / ton instead of 60% of the Xinjiang subsidy standard.

When cotton subsidies are issued, cotton farmers are more concerned.

Since last year's announcement of the cotton subsidy standard in the 9 provinces in the early November, cotton subsidies have been issued in cities and counties since the end of February this year.

2015 is the second year of the mainland's reference to cotton target price subsidies in Xinjiang. The relevant responsible departments should have more experience than last year in terms of statistics of cotton area, output and subsidy process, and should be more proficient in operation.

China's cotton network will continue to pay attention to whether the efficiency can be improved.