New Cotton Listed Purchase Price Or Down To 4 Yuan Lint May Fall Below 11000

Last Friday evening, the kuiti reclamation area suffered hail. It was estimated that 150 thousand acres of land were affected, but the impact was limited. The opening price dropped by more than 400 on Monday. As soon as September entered, cotton grew well and began to sit on top of the peach. The cotton fields in the field began to crack and boll out because of better ventilation. Cotton growers are confident of their current yields. Although the weather has been affected by bad weather during the sowing period, the weather has improved and the temperature has picked up since July. At present, the growth of cotton in Xinjiang is basically flat or slightly better than that of last year.

At present, textile enterprises admit that "pressure is huge", and they are puzzled by the emptiness of the market. Traders basically choose to protect their lives and wait and see. With the escalation of Sino US trade friction in September 1st, domestic and foreign cotton prices continued to fall sharply. At present, there are still more than one million tons of lint in the 2018/2019 within the territory. In the meantime, the National Reserve will be sold to the end of September. With the gradual picking and listing of new cotton, enterprises will be worried about the sale of lint in the past year. Many of the processing enterprises last year bought 50% of the processed cotton, but even if they sell a lot of cotton linen, they will not be able to clean up before the scale starts this year.

At present, the sale of lint in the market is sold at a discount, and the price is maintained at 12500-13000 yuan / ton, far lower than the cost of purchasing. The lint price may fall below 11000.

This year's enthusiasm for contract processing enterprises is generally not high. A business in Shandong bought all the processing plants of the first division in Northern Xinjiang at the beginning of the year. For some reason, it began to hire processing plants outside the country. The processing enterprises of each regiment of the regiment were still being leased to the outside world, and the processing plant of Kuitun reclamation area was only rented last week.

Judging from the current mentality of the processing enterprises, although preparations have been made before the acquisition, confidence is not enough, and the cotton market in the new year is confused. In the 18 year, there are still 1 million 500 thousand tons of inventory. In September, the state continued to store and throw 200 thousand tons. In 2019, Xinjiang's 5 million tons were about to be released, and the trend of the downward trend was obvious.

The domestic futures market will be bottomed at 11000 yuan / ton, or it will be broken down by 10000 yuan / ton in 2016. Processing enterprises are closed at futures prices, and the low price of lint will definitely affect the purchase price of seed cotton in the new year. The price of the cotton harvester is forecast to be around 4.5 yuan / kg. With the listing of a large number of cotton, the purchase price will not fall to 4 yuan / kg. It is possible that the machine picked cotton will be listed on the 20 day and will fall below 3 yuan.

According to the above situation, it is suggested that our cotton growers should ensure that the state subsidies are available in the sale. This year, the state will pay 18600 yuan or 7 yuan for direct subsidy. We must sell the seed cotton according to the requirements of the state, and the subsidy information should be collected. The two is to sell on the market and do not bet on the market. We believe that the country will surely help our vast cotton farmers in difficult times. This year, it may be very large to make up 2 yuan.