Southern Xinjiang: Pre Harvest Price Pick Up Machine Pick Cotton "Do Not Give Strength"

According to the cotton traders and textile enterprises, with the Zheng cotton CF1905 contract price breaking 15000 yuan / ton, 15200 yuan / ton integer entry point and the adjustment of the domestic cotton policy before the Spring Festival is expected to be weaker and weaker. In recent days, the price of lint resources in ginning factories and middlemen has been increasing gradually. Not only low horse value, low fracture strength, large impurity, but also the "frost screen" which does not meet the frost date of generating futures warehouse receipts, and "double 28/ double 29" and other high spinnability, high quality hand picked cotton offer and shipments will also rise.

Some institutions and cotton related enterprises analyze the factors that cause the "low temperature" of the cotton market before the Spring Festival, including the following three points: first, in January and March, some of the ginning plants within the territory are facing the pressure of the loan from the Agricultural Development Bank, and if they do not make cotton pledge financing, they can only sell cotton to reduce pressure.

According to the survey, according to the credit contract, the lowest repayment ratio of some cotton enterprises at the end of January and the end of March was 30% and 50% respectively (some enterprises were slightly higher). Because of the rising price of medium and long term cottonseed prices, the cotton mill chose to sell cotton seeds. Two, since December, some cotton traders and textile enterprises have effectively alleviated the financial pressure, considering the long span of Spring Festival holidays and a small demand for replenishment.

In the past month, the central bank has dropped 1 percentage points in two times and the preferential tax reduction policy has eased the cash flow pressure of small and medium-sized enterprises, including cotton and textile mills. Three, with the rising of Zhengyang cotton, the current price of the cotton picking period is no longer "upside down". The Cotton Traders' "base" purchase has been launched again, and some cotton processing enterprises have pushed the high quality cotton such as "double 29/, double 30" into the market in order to avoid seeking stability.

On the 17-18 th of January, the "double 28" hand picked price of cotton and wool in Korla, Akesu and other places in southern Xinjiang was 15800-15900 yuan / ton (including mixed 1.2% and below, horse value 3.7-4.8); the "double 29" gross weight delivery quotation was slightly higher than 100 yuan / ton, which was unchanged from the previous days.

A trader in Changzhou, Jiangsu, plans to purchase 20 batches a day, and the quoted price is 15300-15350 yuan / ton (the required length 28.5cm and above, strong 27CN/tex and above, impurity less than 1.2%).

In the southern Xinjiang, Akesu, Kashi and other producing areas, the gross price of 3128/3129 cotton picking is only about 15200 yuan / ton. The first is the low breaking strength ratio of the machine picked cotton in southern Xinjiang in the 2018/19 year, and the lower proportion of 28CN/tex and above; the two is that the general impurity of the machine picked cotton in the southern Xinjiang is too large, and 3.5%-4.5% is more common, which is not conducive to the spinning of high count cotton yarn.