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    Two Ministries Reserve Cotton Rotation Policy Is Clear, New Cotton Sales Do This.

    2017/11/14 15:07:00 77

    Two MinistriesPoliciesSales

    Recently, the national development and Reform Commission and the Ministry of Finance issued a notice recently that the new cotton market will not be arranged in principle this year. In 2018, the sale of cotton reserves will start in March 12th and the deadline will be tentatively scheduled for the end of August. The number of daily sales will be temporarily suspended by 30 thousand tons.

    New cotton does not arrange rotation, that is, the Treasury will no longer buy new cotton this year.

    In response, investors said that

    New cotton sales

    Slow progress, cotton reserves normally put in, making up for the gap between supply and demand in the late stage of new flower sales.

    At the same time, the turn out window was stable in March, leaving the new flower sales time shorter, which had a great pressure on new flower sales in 2017.

    First of all, this year, the new cotton market will not be arranged in principle.

    At present, the reserve cotton stock is only about 5000000 tons. The announcement clearly does not arrange for rotation in principle. Enterprises should grasp the pace of sales, and specifically remind Xinjiang cotton enterprises to sell according to market conditions.

    Second, the polarization of new cotton sales will increase.

    This year, the overall quality of Xinjiang cotton is better than that of last year. At present, sales progress is slower than that of last year.

    New cotton sales characteristics are also very prominent, "double 29", "double 30" new cotton sales smoothly, and the main body can not reach 3128 level, mixed with large, high horse value new cotton sales slow.

    After the announcement, this differentiation will also intensify. The difficulty of new cotton sales with poor quality will also increase, and the sales pressure of high-grade cotton will be smaller.

    Third, grasp the reserve cotton spot.

    Sales rhythm

    Starting in October, traders in the hands of the reserve cotton shipments are relatively smooth.

    After the introduction of the policy, traders will be guided to grasp the sale nodes of reserve cotton, and the sale of reserve cotton will be finished by March next year.

    Fourth, until March 2018, the sale time for new cotton is only 4 months.

    After the snowfall in Xinjiang, the shipment of motor vehicles will be affected in a large scale.

    New cotton sales below grade 3128 in Xinjiang are sluggish, but many cotton enterprises are not willing to sell at cost under cost factors.

    The cotton enterprises in the mainland believe that the cotton will have a sales period of 1-2 months when the cotton reserves are digested, and the price will probably rise.

    After the announcement, cotton enterprises should re-examine the sales strategy.

    The world clothing shoe and hat net Xiaobian understands that

    Policy announcement

    After that, cotton farmers grabbed the opportunity to pick cotton, and cotton enterprises also accelerated the acquisition process of new cotton.

    The staff of the purchasing point also checked and measured the clothing score, weighed, weighed and unloaded according to the standard procedure.

    Huang Xiaoyi, an information analyst at Zhuo Chuang, believes that the policy will increase the market pressure of new cotton.

    At present, only about 5 million tons of national cotton stocks are stored, close to the national stock safety stock level, and the news of the new cotton market is clear about the supply structure of the medium and long term market. In 2018, the situation of adequate supply of cotton market will continue. At the same time, in March, the sales pressure of new cotton will increase, and the sales cycle will continue to extend.

    In this regard, Huang Xiaoyi suggested that enterprises should carefully control costs, optimize the lint sales plan, to deal with market risks.

    For cotton farmers, it is recommended to sell seed cotton in line with the market so as to ensure the benefit of cotton growing.

    Feng Mengxiao, chief economist of the central cotton storage information center, thinks that cotton farmers can basically put their bags on the safe side because he has already completed the sale. Cotton farmers' income, on the one hand, is subsidized by cotton target prices. On the other hand, our market has not caused negative effects on them.

    If we continue the current policy and the pressure is not reduced, our cotton prices will probably increase again compared with the previous year.

    Experts say that although the policy will put pressure on new cotton sellers, it is fortunate that this year's policy announcement was earlier, and it also stabilized the market ahead of time, contributing to the smooth operation of domestic cotton prices and ensuring the further increase of cotton demand for textile enterprises.

    Textile industry

    International competitiveness.

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