New cotton will be listed in September, Xinjiang cotton sales speed up

2019-07-29 21:44:54

In the first half of 2015, in the context of a moderate global economic recovery, although China's printing and dyeing industry is facing many difficulties and pressures, the industry has further accelerated industrial restructuring. The main business income, profits, fixed asset investment and exports of enterprises above the industry scale And other major economic indicators achieved growth, the growth rate has dropped from the first quarter.

Increase in output decline

From January to June 2015, the output of printing and dyeing cloth of printing and dyeing enterprises above designated size was 25.644 billion meters, a decrease of 12.78% compared with the same period in 2014, and the decline in output was further increased from the 10.74% decrease in the first quarter. The five eastern coastal provinces of Zhejiang, Jiangsu, Fujian, Guangdong, and Shandong produced 24.636 billion meters of output, accounting for 96.07% of the total national output. Except for Jiangsu, the output of printing and dyeing fabrics in Zhejiang, Fujian, Guangdong, and Shandong all decreased to varying degrees compared to the same period in 2014. Of which, Guangdong Province decreased by 58.71%. With the arrival of new cotton in September, Xinjiang cotton has once again become the focus of domestic cotton market. During the recent docking seminar between Xinjiang enterprises and mainland warehousing and textile enterprises, the reporter learned that although the early sales of machine-picked cotton were not good, there is not much cotton left in 2014/2015 in Xinjiang. The quality will be improved and the time to market is expected to be advanced.

"The lag in the progress of Xinjiang cotton sales in 2014/2015 is mainly dragged down by the over-pricing." Zhang Wenmin, general manager of Wanda Futures Cotton Business Department, told reporters that mainland textile companies prefer low-cost cotton when purchasing cotton, and usually use relative prices first. Lower real estate cotton. Of course, the third-grade hand-picked cotton in Xinjiang has very good quality, and the sales progress will be very fast. However, Xinjiang's machine-picked cotton has been dragged down by excessively high pricing. After the listing in the second half of last year, it has been difficult to sell, and the operation of some cotton enterprises in Xinjiang has also been affected. Until March of this year, Xinjiang cotton had a compromise in price, and with the implementation of the "big purchase" model, the cotton sales situation gradually improved.

"Demand for downstream cotton is actually good, but high prices are prohibitive for downstream companies." A person in charge of a storage company told reporters that with the arrival of new cotton picking in September, the price of commodity cotton rushing out of the warehouse was loosened, and sales progress was greatly accelerated.

It is understood that there is not much cotton left in Xinjiang in 2014/2015. Tian Xiping, deputy director of the Cotton and Linen Company of the Sixth Division of the Xinjiang Production and Construction Corps, told reporters that the lint output of the division was about 119,000 tons last year and has now basically been sold. It is understood that Xinjiang Jinmian Cotton Industry Co., Ltd., which produced about 205,000 tons of cotton last year, now has 4,000-5,000 tons of cotton, and it is expected to be sold out before the 20th of this month.

Affected by the downturn in cotton prices last year, the cotton planting area in the mainland has fallen by more than 30% this year, and some cotton-producing areas in Xinjiang have also made some adjustments to their planting structure this year. China's cotton storage data show that this year's cotton planting area in Xinjiang has decreased by 10% -15%. According to reporters, the Sixth Division of the Corps has increased the proportion of melons, safflowers and other economic crops planted this year. The cotton planting area has been reduced to 700,000 acres. It is expected that this year's cotton output will also be significantly reduced, remaining at 70,000-80,000 The cotton planting area of the 7th Division of the Corps this year is 1.3 million mu, and the cotton output is expected to be the same as last year, at about 200,000 tons.

A person in the Xinjiang Production and Construction Corps said that compared with last year, the weather this year is more suitable for cotton growth. According to reports, this year the Corps improved cotton quality and reduced foreign fiber content by unifying cottonseeds, sparse planting, and picking and direct baling. Therefore, they have full confidence in this year's cotton quality. In addition, the unified warehousing and public inspection required by Xinjiang ’s cotton direct supplement policy are likely to be completed earlier this year, and it is expected that the lint cotton market will be earlier than last year.

Overall, the decline in domestic cotton planting area this year is a foregone conclusion, and the weather in the future will be an important factor affecting cotton production. Yang Zhijiang, general manager of China Merchants Futures Shanghai Sales Department, told reporters that the impact of recent rainy weather on cotton quality and output is still difficult to determine, but the price of cotton in the mainland will ultimately depend on the "face" of Xinjiang cotton. If there is no abnormal weather affecting the yield of cotton in Xinjiang in the later period, it can be said that high yields are in sight. This year, Xinjiang attaches particular importance to cotton quality, and the price of new cotton should also reflect the "premium" of quality. In addition, as the subsidies in 2014 are not yet fully in place, if the seed cotton price is too low in the new year, it may cause cotton farmers to sell unfortunately.