Jining: Cotton Enterprises Enter The Market Late

Recently, Shandong seed cotton acquisition market is in full swing. This Monday (October 19), Zheng cotton futures hit a new high, insisting on cautious wait-and-see ginning plant "every high" into the market. From Tuesday (October 20), Zheng cotton futures high stagflation fell, manufacturers timely adjust the purchase price, maintain a rational response.

On Monday (October 19), zhengmian futures reached a new high, with cf2101 main contract reaching 15305 yuan / ton, boosting the spot lint quotation, and the market was excited and optimistic about the future market. The purchase price of seed cotton rose sharply in Shandong Province on the 19th, breaking the 4.00 yuan / Jin barrier in some areas.

In recent years, the cotton planting area of Jining county has declined year by year due to the cotton planting area in Jining County, which is not the only cotton planting area in Jining.

Affected by the habit of cotton farmers selling cotton and the cautious wait-and-see of ginning plants, the local ginning plants started weighing later. However, due to the temptation of rising cotton prices, some local cotton ginning plants entered the market on the 19th, about a week later than last year's weighing time. The purchase price of opening scale was 3.60-3.80 yuan / kg (clothing percentage was 40% and moisture content was below 15%), which was 0.60-0.80 yuan / Jin higher than last year's opening price. Due to just opened scale acquisition, seed cotton quality is uneven, the price is different. Compared with other areas in Shandong Province, the local scale opening time was delayed for nearly a month, and the opening price was higher than that in other regions by 0.55-0.65 yuan / Jin.

Starting from Tuesday (October 20), Zheng cotton futures rose and fell, and continued to weaken on Wednesday (October 21). The closing price of cf2101 main contract on Wednesday was 14635 yuan / ton, 300 yuan / ton lower than the closing price of 14935 yuan / ton on Monday (October 19). The purchase price of seed cotton in surrounding areas has been reduced by 0.20-0.25 yuan / kg to cope with the risk brought by the market price drop.

Local manufacturers reflect that due to the just opened scale purchase, the sales volume of cotton farmers are not large, seed cotton prices remain high temporarily, only in strict quality control efforts. If lint prices continue to decline, seed cotton purchase price will follow downward, individual manufacturers or will stop to wait and see. In the face of the rapid change of cotton market, cotton ginning plant performance rational response to the situation.