Import Of Cotton Yarn Reduces Domestic Cotton Yarn Advantage

In the first 5 months of 2016, as China's cotton prices were at a relatively low level, the difference between domestic and foreign cotton prices was also significantly reduced compared with the previous years.

We expect that China's cotton yarn imports will be between 150-190 tons in 2016. If the amount of imported cotton yarn is 1 million 900 thousand tons, it will be reduced by nearly 450 thousand tons of cotton yarn than in 2015. According to the consumption rate of 1.1, it is nearly 500 thousand tons of cotton.

Even for a long time, the domestic C32S

The price is lower than the same grade imported cotton yarn price, especially the cotton yarn produced in Xinjiang, because of the advantages of electricity price and various subsidies granted by the state, the price of Xinjiang yarn is quite competitive, and the quality of cotton yarn is also very good, so it also inhibits the import of some cotton yarn.

According to statistics from the General Administration of customs, China imported 803 thousand and 600 tons of cotton yarn in 1-5 months, a decrease of 18.87% over the same period last year.

2015/16 (2015.9-2016.05) accumulated 1 million 541 thousand and 400 tons of imported cotton yarn, a decrease of 9.74% over the same period last year.

In the first 5 months of 2016, the import of cotton yarn from India, Pakistan and Vietnam accounted for 72.7% of China's total imports of cotton yarn, while Vietnam surpassed India and Pakistan and became the largest importer of cotton yarn in China.

In the first 5 months, China imported 227 thousand and 400 tons of cotton yarn from Vietnam.

28.3% of the total volume; 197 thousand and 700 tons of cotton yarn imported from India, accounting for 24.6% of the total imports; and 158 thousand and 700 tons of cotton yarn imported from Pakistan, accounting for 19.8% of the total imports.

I believe that with the gradual integration of China's cotton and international cotton prices, the competitive advantage of domestic cotton yarn will be gradually reflected, especially the Xinjiang cotton yarn with high quality and high price.

And in India

The price is high, and cotton yarn prices will no longer have advantages in the short term.

The amount of imported cotton yarn has been reduced, and the market share of domestic cotton yarn has been partially recovered, and its consumption of cotton will also return. Therefore, from the perspective of reducing imported cotton yarn, it is conducive to domestic cotton consumption.