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    Cotton Shrinkage In China'S 2014/15 Market

    2016/4/6 13:56:00 29

    ChinaCotton And Output

    In the 2014/15 market year, India surpassed China as the world's largest cotton producer, according to a report by the USDA Commissioner in China.

    Due to China's adjustment and support policy, the decrease of cotton farmers' income may lead to the reduction of cotton production to 6 million 500 thousand tons in the 2014/15 market in China.

    China 2015/16 year

    cotton

    The planting area is reduced by 15% and the output is reduced to 5 million 800 thousand tons.

    After the government's acquisition of three consecutive market years, it is estimated that China's cotton inventories will be around 59% of the total global cotton stocks.

    The annual cotton inventory in China's 2014/15 market is a record 13 million 900 thousand tons at the end of the year.

    Estimate

    China

    Cotton imports decreased by nearly 50% to 1 million 550 thousand tons in the 2014/15 market, and cotton imports fell to 1 million 400 thousand tons in 2015/16.

    Correspondingly, the number of Chinese imports of American cotton will also decrease.

    At present, China is seeking to sell cotton reserves and restrict additional.

    Import quotas

    And other ways to control cotton stocks.

    The above measures, as well as the sluggish recovery in expected consumption, will lead to a cut in China's cotton imports and fall back to the level of imports before the implementation of the 2010/11 cotton storage and storage mechanism.

    Related links:

    Recently, the national development and Reform Commission and relevant departments jointly issued the "guiding opinions on accelerating the development of modern logistics of cotton", and clearly put forward the preliminary agreement that the floating rate of cotton Railway Tariff is 30%.

    Since mid March, the supply of high quality cotton in the mainland warehouse has continued to decline. Some small and medium-sized cotton mills have increased the production of C40S, C32S and C21S yarn. The demand for Xinjiang cotton, such as 3128C2 and 2128C2 grade, has increased. Some cotton regulatory libraries in Akesu, Bachu and Korla reflect the enthusiasm of the cotton processing enterprises and traders in the South Xinjiang cotton store.

    On the one hand, it is worried that the reduction of railway freight rates will trigger the tension of the wagon. On the other hand, after the Spring Festival, there are very few cotton textile factories and operators in the mainland to see and purchase goods. Most of them propose to purchase near the platform or the seller first delivers the goods to the designated warehouse according to the quantity of the contract, the buyer pays a batch of cash in advance, the price goes along with the employment, and it is very difficult to ship the goods on the platform. In order to sell the money back as soon as possible, the cotton plus enterprises have to move to the landlord consumer area.

    On 29-30 March, the Akesu platform 3128C2 (2128C2) level (fracture strength 27.5-28CN) hand picked cotton inspection gross weight quotes 11500-11700 yuan / ton, while 2128C2 grade (breaking strength 28-28.5CN) 11800-12000 yuan / ton of lint weight, 2128B2 grade (broken strength 28.5CN above) lint price 12100-12200 yuan / ton, because of different indicators, some cotton enterprises will quote the same grade cotton according to different batches.

    A 50 thousand cotton spinning mill in Henan indicated that there is no difference in grade between grade 2128C2 and grade 3128C2, and the spinning of C32S and C21S yarn can be done as long as the Ma value is not higher than 5.2, but the breaking strength can not be lower than 27.5CN. Otherwise, the yarn strength is not enough, the breakage rate of 100 meters is high, and the CV value is also defective. Therefore, the purchase is concentrated on the middle and low quality cotton in the southern Xinjiang, and the strength of the machine picked cotton in Northern Xinjiang is slightly better than that in the northern Xinjiang. However, considering the large impurities, the high moisture content of the lint and the "three silk" problems, the machine cotton spinning has no advantage in terms of cost and quality stability.


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