What Do You Think Of Cotton Subsidies In Xinjiang In 2020?

Recently, the majority of friends are very concerned about the cotton policy next year. We are very anxious and looking forward to it. We have analysed the cotton policy of Xinjiang over the years and visited the relevant leaders and people in the industry for your reference.

Our cotton policy in Xinjiang is basically divided into two stages:

The first stage: the pilot policy before 2014, that is, the policy before reform, is mainly agricultural support policies such as temporary collection and storage, minimum protection price and quota subsidy.

The second stage: the institutionalized policy which is gradually formed after 2014 is the target price policy.

The cotton price reform in Xinjiang, which began in 2020, will usher in a new change. What will it be?

We will focus on the target price reform.

Changes in target price reform:

1) in 2014, 2015 and 2016, the target prices of cotton in Xinjiang were 19800 yuan / ton, 19100 yuan / ton and 18600 yuan / ton respectively.

2) since 2017, 2018 and 2019, the target price has been implemented for a period of three years, with a target price of 18600 yuan / ton.

3) since 2015, it is still exploring: "cotton quality subsidy", that is, the subsidy policy of high quality and high price. The policy is as good as the policy mentioned by Xiaobian, but it is necessary to establish and improve the quality of testing system and not to let quality subsidies become empty words. "Futures + insurance" (the policy is a good exploration of cotton prices and farmers' income, but many of the previous trial funds are policy oriented, that is, the government is out, and the knowledge of futures + insurance can not be understood by ordinary people, and it is difficult to implement in a short time).

Cotton target price reform operation mode changes:

1) the cotton target price reform has carried out important reforms in the way of subsidy, which has changed from "area + sales volume" to "sales volume", and there are some changes every year. There are differences between the local and the Corps, and there are differences between the north and the south.

2) after the cotton target price reform, the subsidy money is directly issued through the card.

Benefits of target price reform:

1) compared with traditional subsidies, cotton target price subsidies can protect cotton farmers' interests more effectively. In the case of low market prices, target price subsidies have become an important source of income for cotton farmers in Xinjiang.

2) through the cotton target price reform, the pricing mechanism of the cotton market has basically been established, and the market price has returned to normal.

3) farmers predict cotton planting income according to cotton target price level, so as to select more suitable crops for planting more flexibly. Through the market means, the expected management is used to adjust the planting structure, and the effect is very obvious.

4) after the implementation of the cotton target price reform, cotton production is further concentrated in the dominant producing areas of Xinjiang, and the cotton production in the high quality production area has increased to more than 70% in Xinjiang.

5) in the cotton target price reform, the autonomous region has implemented the system of processing qualification confirmation, professional warehousing, and public inspection in the warehouse, so as to promote the quality awareness of all links in the cotton industry.

6) the consistency between cotton inner quality and cotton logo has been improved. In 2016, the proportion of local white cotton type increased by 2.6 percentage points, the average length increased by 0.31 millimeters, and the uniformity increased by 0.2 percentage points.

7) with the reduction of cotton costs and a series of policies to support the development of textile and garment industry in the autonomous region, the transfer speed of domestic textile and garment enterprises to Xinjiang has been speeded up, and the operating rate and profitability of the industry have improved significantly, which has greatly moved the employment of surplus labor in the territory.

In 2018, our target price was 18600 yuan / ton "three years" policy implementation for second years, the local basic 0.918 yuan / kg, the regiment was mostly 1.34 yuan / kg, long staple cotton 1.18 yuan / kg, in addition, in the southern part of Xinjiang, four prefecture level areas also have an area subsidy of 86 yuan / mu, although the subsidy payment is somewhat late, but it still came. The cotton harvest in 2019 has been over half. The northern Xinjiang has basically ended and the southern Xinjiang is fast. The output of this year is generally lower than expected. The average cotton price this year is 1 - 2 yuan per kilogram lower than that of last year. This is a realistic fact. We expect that the Cotton Subsidy in 2019 will be released as soon as possible, and look forward to the distribution of subsidies to farmers in 2019.

The 2019 will soon be over. That means that our "three years" cotton target price reform has become history. What will be the cotton policy in 2020? Let's see how the leaders say:

It is not hard to see that after 2020, the policy of big probability will be based on the target price reform, plus the subsidized way of "quality subsidy". We look forward to further details.