Reserve Cotton Came Out In Early May To Ensure Orderly Supply Of The Market.

In the context of the recent surge in cotton prices, in order to maintain market price stability, the NDRC held an emergency meeting in April 20th afternoon. The meeting made it clear that the current 2 million tons of annual cotton reserves expected to be delivered by 2015/16 should meet the market demand. However, if the market demand is increased and the supply gap is large before the new cotton market comes into operation, the amount of cotton reserves placed in 2015/16 will continue to increase on the basis of the original 200 tons.

at present

The various preparations are carried out in an orderly manner, which ensures the daily output of 30 thousand tons and the progress of the warehouse. The basic structure is to give priority to the import of cotton and the synchronous production of domestic cotton.

April

You can use madness to describe it, but all the plates are rising together.

For Zheng cotton, it also ushered in the long lost spring. A month's time basically recovered the whole year's decline last year, which exceeded the expectations of all spot enterprises.

Driven by the skyrocketing of futures, spot quotas also followed the increase, with a monthly increase of less than 500 yuan / ton, while the futures rose by an astonishing 3000 yuan / ton during the same period.

On the one hand, the state announced the control of reserve cotton wheel reserves, on the other hand, just as the commodity market collectively warmed up, coupled with the promotion of speculative capital, the cotton market was created.

However, whether the soaring market can continue or not? It remains to be seen.

Starting in May, under normal conditions, daily reserves of cotton

The quantity is not more than 5 tons, and the specific number of rounds is based on actual paction.

If the market price of domestic and foreign market has obviously increased rapidly for a period of time, the turnover rate of the auction sale of reserve cotton will exceed three days or more than 70% days a week, and the number of sales will be increased appropriately.

Cotton with long storage time is preferred.

The reserve price of cotton reserves is determined according to the market dynamics. In principle, the selling price is linked to the spot price of cotton at home and abroad. The cotton spot price index in the domestic market and the spot price index in the international market are calculated by 50% weight and adjusted once a week.

On the whole, the purpose of reserve cotton production is to ensure the orderly supply of the market, and to integrate the domestic market with the international market, reduce the raw material cost of domestic textile enterprises, and enhance the competitiveness of downstream products in the international market, so that the domestic textile enterprises will get better and better and the demand will also gradually improve.

Therefore, under the overall regulation of the state, the possibility of a sharp drop in cotton prices has decreased. The recent rise in the futures market is the return of deep discount at the beginning of the year, and the latter is limited.