High Quality Cotton Favored Cotton Enterprises Waiting For Market Warming

Thanks to the agreement reached in the first phase of the Sino US trade consultation and the two 480 billion net throw in the central bank, the cotton processing enterprises in the territory increased the purchase of high quality seed cotton. Some hand picked cotton ginning plants even increased slightly (0.05-0.10 yuan / kg), while the water quality and low quality seed cotton were generally buckled, mixed or rejected.

A ginning factory in Bachu said that due to the success of the Sino US trade negotiations, the downstream cotton textile and garment enterprises gradually entered the rhythm of production and vacation. Traders and cotton processing enterprises had little financial pressure before the holiday. Therefore, CF2005 was expected to break 13800 yuan / ton and then increase the sale of hedging or point price. From 12 to January, the operation was mainly based on wait and see, holding and selling. The company expects to produce about 9500 tons of lint in 2019/20. From 9 to November, about 2800 tons of cotton, cotton and cotton were sold at about 9 tons, while the low quality cotton linen plan was moved to the mainland for sale.

In recent days, several cotton enterprises in Kashi and Akesu have considered that the first hand is to store high quality requirements (each batch does not contain C1 and the breaking strength is below 27cN/tex). If we remove or replace the cotton bags that do not meet the requirements, the remaining lint is less and it is difficult to sell in batches. It is difficult to sell in the warehouse. Two, with the continuous rebound of spot prices of zhengmian and Xinjiang cotton, the attractiveness of the maximum price limit for storing cotton wheels is reduced; three, cotton enterprises are worried that they can not deliver the goods in time according to the contract. Taking into account the factors such as heavy pressure on railway transportation before the holidays, spring transport and temperature drop, it is difficult to ship to the mainland and carry out the contract on time.