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    Textile Industry Calls For Measures To Curb Cotton Prices Soaring

    2016/7/7 12:17:00 28

    TextileCotton And Cotton Prices

    Although it entered in June

    Spin

    In the off-season, but most textile enterprises in the country reflect the smooth operation of the purchase and sale, but this steady running situation has recently been broken by the soaring cotton prices.

    cotton

    The futures price rose sharply, and the auction price of reserve cotton was higher under the premise of relatively short daily turnover. In July 1st, the average price of reserve cotton was 13368 yuan / ton, and the price of 3128 yuan was 14272 yuan / ton.

    Textile enterprises are unprepared for the soaring cotton prices which can not be digested in the lower reaches. At present, most textile enterprises are losing money soon and feel great pressure. In order to cope with the sudden rise of the current cotton price boom, many textile enterprises indicate that they should observe for several days and do not participate in the auction of cotton reserves. Henan Textile Industry Association has asked the relevant departments of the state to increase the amount of reserve cotton daily and take measures to curb it.

    Cotton price

    If prices are soaring, if cotton prices can not be lowered, textile enterprises will take measures such as limiting production or stopping production and holidays.

    The domestic cotton spot is also relatively strong in recent years. Although the market is not trading much, the price center of gravity has increased slightly. The mainstream price of 3128B is about 13400-13600 yuan / ton, and some businessmen are reluctant to sell and wait for the latter market to change.

    At present, it is generally expected that a large number of Xinjiang cotton will come to the mainland market around November, while the dumping and storage will be completed by the end of August. There will be a blank period of 2-3 months in the middle. It is understood that all the textile enterprises are fully stocking the corresponding stocks at the present stage of dumping and storage. The current demand for reserves is not enough, and the early traders are running low inventory, and there are also replenishment operations in the market.

    The long staple cotton market continues to be weak, the goods are not good, and the stock is still partly overstock. At present, the price of the 137 level mainstream plants is about 20700-20800 yuan / ton, and the 237 level price is 19900-20000 yuan / ton level.

    ICE cotton rose more than 1% on Friday, reversing a trend of over 2% on Thursday, with the most active December cotton price being 0.82 cents, or 1.28%, at 64.99 cents a pound, with a trading range of 64.34-65.18 cents, mainly due to the short profit of the us long weekend and the fall of the US dollar.

    Although China has increased its market supply by throwing storage, it has continued to be hot because of the hot storage. The paction price is on the high side, especially the import cotton turnover rate has always kept 100%. This obviously boosted the US cotton market, and at the same time, the cotton production is expected to reduce substantially, with the support from the local market to buy, and the US cotton will enter the critical period of crop growth, and the weather speculation factors will increase, which will lead to a strong probability of short-term shock in ICE cotton.

    In the domestic market, Zheng cotton has been trading on a monthly basis for a month, and the volume is increasing again. The 1701 contract of zhengmian main contract opened at 14760, closing at 15425. The settlement price rose 735, the highest 15425, the lowest 14730, and the settlement price 15240.

    Domestic cotton price index once again rose widely, of which the Ccindex3128B representing domestic standard grade cotton spot was 13333 yuan / ton, up 48 yuan / ton compared with the previous day.

    State cotton is still the dominant force in the cotton market. The recent daily output is still at 2-3 tons or lower, and the situation of spinning and selling is still very obvious. Especially, Zheng cotton has soared for three consecutive days, stimulating the auction price to rise sharply.

    Because of the relative shortage of domestic cotton resources supply, the price of traders in the spot market is also rising, and the textile enterprises are still generally keeping up with the strategy of spot market low to high price, and the stock level of raw materials continues to run low, especially in the recent cotton spot market, which has obviously exceeded the capacity of the downstream textile enterprises.

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