Spot Cotton Price Rises In Low Cotton Operation

By the middle of March, the textile mills started to run normally in various places, and the purchasing quantity of lint increased continuously. The quotations were slightly different among different places, but the overall level rose to varying degrees, stimulating the enthusiasm of purchasing and processing of ginning plants.

The price of seed cotton and lint in some cotton ginning plants in Jinxiang District of Jining, Shandong has increased, and the market has achieved good results.

The survey was informed that Shandong's local ginning plants are running normally at present, and the seed cotton purchase price has been rising continuously. At present, the higher price has risen to 3.47-3.48 yuan / Jin, a total increase of 0.05-0.11 yuan / Jin compared with the pre holiday period, and the higher price of the three grade lint is 15300 yuan / ton (gross weight and ticket), which has risen 600 yuan / ton before the holiday, and the factory price of cottonseed is at 0.97-0.98 yuan / Jin line, which has dropped by 0.01-0.02 yuan / Jin compared with that before the holiday.

After the holiday, the lint futures were unstable. The Zheng cotton CF1905 contract was at a shock of 14950-15665 yuan / ton, and the recent adjustment was narrowed. This week's adjustment of 15185-15335 yuan / ton can be described as a dilemma. It is difficult to effectively support the spot lint market and limit the pace of its rise.

However, due to the fact that the number of lint stocks in the downstream textile mills has been exhausted, the amount of replenishment has gradually increased in recent years, especially the better quality of lint.

The downstream products of post spinning spinning factory once fell back. In February, the 30S cotton yarn in Shandong area was more than 18600-19000 yuan / ton. After March, the market shock intensified. The price of 30S cotton yarn in Shandong area was 18500-20500 yuan / ton, and the difference between high price and low price was 2000 yuan / ton, which is the main reason for uneven spot cotton market.

However, with the decline of seed cotton resources and the further reduction of lint stocks, the pattern of lint rising and falling will continue.