Shipments Of American Cotton Are Always Difficult To Increase.

According to the analysis report of the National Cotton Association (NCC), the digestion of American cotton is still mainly dependent on exports. Since the beginning of this year, the export of US cotton to China has dropped by 80% compared with the same period last year. The recent US cotton shipment has always been difficult to increase. It is still very difficult to complete the target of USDA (2 million 68 thousand tons).

NCC said that although China's domestic cotton prices have dropped sharply in the past year, it is still nearly twice as high as that of chemical fibers.

Although global cotton consumption has exceeded production this year, stocks at the end of the year have declined, but inventories have not declined significantly. Moreover, the decline in inventory is mainly due to China's digestion of reserve cotton. If China throws large quantities of reserves, the negative impact on international cotton prices is self-evident, especially the supply of reserve cotton will weaken China's demand for imported yarn.

according to

According to the statistics of the Ministry of agriculture, as of February 25th, the amount of net cotton export contracted in the US 2015/16 reached 1 million 578 thousand tons, down 603 thousand tons compared with the same period last year, and finished 75% of the USDA forecast, which is lower than that of 88% in the same period last year.

The shipment volume of US cotton was 876 thousand tons, down 193 thousand tons compared with the same period, and finished 42% of USDA forecast, lower than 43% of the same period last year.

To finish

The average export volume and volume of US cotton weekly need to reach 55 thousand and 100 tons and 23 thousand and 200 tons respectively.

In addition, as an important market for us cotton exports, Turkey is continuing to target.

The anti-dumping investigation may lead to higher tariffs on the US cotton export to the country, while other varieties exported to Turkey will be duty-free.

In addition, cotton consumption in the US has increased slightly in recent years, but the strength of the US dollar will also inhibit the export of American cotton yarn.

The demand for cotton is low, imports from China are reduced, prices of agricultural products are low, and the strength of the US dollar has become the current cotton price.