Cotton City Observation: Mainland Farmers Expect Cotton Prices To "Head Up"

With the advent of winter, the temperature dropped significantly in most parts of the country. Cold weather and fog and frost weather are more frequent. At present, the new cotton harvest in Jiangsu and the eastern coastal area has reached 80%.

Due to the colder weather and a previous winter rain, cotton and cotton in Jiangsu and Jianghuai areas had a poor environment and their grades declined. In late November, about 15% of the cotton in the mainland was mainly rain and rust cotton and cream yellow cotton. The main grade was below grade 4, and the fiber quality and luster quality index were much different from that in the upper and middle reaches of October, and the spinnability was worse than that of the top grade cotton. Because most of the cotton growing areas in Jiangsu are small and scattered in recent years, the number of single households holding cotton is small, and the cost of centralized purchasing is relatively high. In addition, the cotton price has been turbulent for some time, and the heart of farmers selling cotton has been depressed. So there are still a large number of cotton resources in the hands of farmers.

It is understood that although there are more than ten million mu of cotton in Jiangsu, Nantong and Yancheng, it is estimated that about 50 thousand tons of seed cotton need to be listed. However, as a purchasing processing enterprise, it will consider increasing the cost of collection because of the excessive dispersion of resources, and the quality loss caused by the mixture of cotton and cotton. According to the analysis, the output of cotton in the mainland is not higher than that of last year, and the total quality is flat with the normal year. From the market perspective, farmers' cotton planting income will not be higher than the previous year. This is also why some cotton farmers are reluctant to buy cotton.

At present, the weather is getting cold, and there are few cotton traders, and the acquisition of the company has not been carried out. The biggest problem now is the mixed storage of pre and post seed cotton, which will further reduce the grade of cotton that will be sold in the future. This is a new situation and a new contradiction emerging in the cotton production landslide. We can only hope that the production and marketing market will regain its vitality and form a new scale advantage as soon as possible.