Domestic Cotton Prices Fell Slightly, New Cotton Supply Increased Slightly

In 2015, domestic cotton prices fell slightly, while futures prices fell much more than spot prices.

Throughout the cotton industry in 2015, due to long-term huge inventories and weak downstream consumption, Zheng cotton has been operating in a relatively low position, which shows that the huge inventory of cotton and

It is the internal factor that leads to fall.

For the cotton production in 2016/17, it is expected that the planting area in the mainland will continue to decrease, but the cotton planting area in Xinjiang will maintain or decrease slightly. In terms of output, if the weather in 2016 did not encounter the weather like 2015, the output of cotton in Xinjiang would be higher than that in 2015.

Overall, China's cotton is expected.

It will maintain or even increase slightly in 2016.

Cotton production in China decreased significantly in 2015/16. According to USDA12 monthly report, China's cotton production in 2015/16 reached 5 million 291 thousand tons, a sharp decrease of 19% over the same period last year.

In November, the China Cotton Association forecast that cotton production in China was 5 million 277 thousand tons in 2015/16, a decrease of 18.8% over the same period last year.

China Cotton Information Network reported in December that China's cotton production in 2015/16 was 5 million 10 thousand tons, down 20.3% from the same period last year.

As of December 16, 2015,

The total amount of cotton processed in the region is 3 million 272 thousand tons, of which the processing capacity of local enterprises is 2 million 5 thousand tons, and the processing capacity of the Corps is 1 million 268 thousand tons. In the same period of 2014, the total processing cotton volume was 3 million 504 thousand tons.

As of that day, Xinjiang cotton was 3 million 79 thousand and 600 tons in storage and 3 million 134 thousand tons in linen. The inspection volume of local enterprises in Xinjiang was 1 million 653 thousand tons, and the inspection volume of Xinjiang Corps was 1 million 327 thousand tons.

Most of the ginning plants will finish processing tasks by the end of December, with the daily processing capacity of about 13 thousand tons, and predict that the output of Xinjiang cotton will reach 3 million 500 thousand ~370 million tons in 2015/16.

The cotton production in the mainland is between 1 million ~120 tons, which is a relatively recognized figure. Therefore, it is predicted that the lint yield in China will be between 4 million 500 thousand ~490 tons in 2015/16.

In 2015, the NDRC stated that in addition to undertaking the quota of 894 thousand tons of cotton imported from WTO, the import quota was no longer issued. Therefore, the cotton import volume dropped sharply in the past year.

Especially after August, the quota of enterprises is very small, so the import volume of cotton in the latter few months has plummeted.

Even cotton entering the bonded area has been pferred to other Southeast Asian countries because of the absence of quota clearance.