The new cotton price hit the cotton industry busy season

2017-08-01 00:00

The cotton market does not support the rise in cotton prices, the cost of production "upside down", this season is not prosperous, the market in the wait-and-see, cotton prices continued to rise this year in the face of market environment, a number of textile industry insiders told reporters.

Insiders said that the current enterprises rely more on hoard cotton production, there is no inventory, had to stop work and wait and see. Take Henan, the second largest province in the nation's yarn production, for example, with only half of the capacity available in the peak autumn season. Analysts believe that the new cotton this year about high prices of cotton acreage has shrunk dramatically, it is expected that the situation will be eased next year.

The new cotton prices over 16 thousand yuan / ton

The end of September 30th, the State Reserve to sell cotton, become an important source of continued production of textile enterprises. In the cotton futures prices continued high, was snapped under the background of the State Reserve, Xinjiang cotton prices hit.

"During the National Day holiday, Xinjiang prices soaring, the cotton market driven with rose. Today, Xinjiang hand picking lint quotation has more than 16 thousand yuan / ton, Xinjiang machine picking cotton prices also reached 15 thousand and 500 yuan / ton." Henan textile industry association secretary general Li Jifeng revealed that the new and old cotton alternate, textile enterprises with cotton costs significantly higher than in August, more than 2000 yuan / ton. Although traders are still in the hands of the State Reserve stockpile, but the price has rocketed to 15 thousand and 800 yuan / ton. At present, the price of cotton rose upstream, downstream demand, cotton enterprises among them, facing the huge pressure of production.

As of October 9th, in the south of Xinjiang seed cotton purchase price of about 7.60 yuan / kg, in Akesu, Kuche and other places of Yuli, the maximum purchase price reached 8 yuan / kg. In Xinjiang prices driven by National Day during the the Yellow River River Basin, the cotton price has reached 7.30 yuan / kg, up 0.15 yuan / kg than before.

"This year's cotton acreage has shrunk dramatically, in addition cotton reserves round out the end, Zheng cotton futures the recent rapid rise and other factors, has led to the recent price of cotton rose." Zhuo cotton analyst Zheng Bo said that at the beginning of last October showed a large number of listed, prices are low. At the beginning of this year, prices began to pull up sharply. Therefore, farmers in late selling prices, already sold at a loss Xishou, psychological expectations on cotton prices higher. In addition, despite this year's extended storage period, but at the end of 9 cotton reserves turnover rate is as high as 100%, indicating that textile enterprises, traders are also worried about the supply of cotton futures market mentality.

It is understood that the southern region this year, rainy and windy, Xinjiang, Korla recently suffered hail disaster, which affected cotton growth, machine picking cotton, hand picked cotton listing than in previous years, delayed 7 to 10 days. After the end of the reserve cotton, the market supply of cotton has a brief period of empty window". The National Meteorological Center recently predicted a total of 5 million 96 thousand tons of cotton this year, a decrease of 9.1%.

"This year, foreign cotton high yield, prices decline.". If this kind of inside and outside spreads continues, the import yarn will certainly have the impact to our country cotton yarn market." Li Jifeng believes that most textile enterprises are afraid to buy high in cotton, are watching, waiting for the price drop.

The cotton industry is busy in the busy season

The golden nine silvers ten, the weather turns cool, is precisely the cotton textile enterprise prosperous starts, the production and marketing prosperous season. However, the high prices in the fall, Henan Xiayi County Huapeng cotton Co., responsible person Zhu Minfeng is not optimistic about the market.

"At present, Henan, Nanyang, Xinye area is the hardest hit, the operating rate or only about 20%. In Shangqiu Xiayi County, textile enterprises generally operating rate is only 50%." Zhu Minfeng said, home textile factory is around few full horsepower operating companies, supporting the production force, in their own price is still low, in the "grain reserve warehouse tun".

"Now the cotton textile enterprises, no profit, even upside down costs, who dares to buy cotton production?" Textile enterprises responsible person said, if the price of cotton is now 16 thousand yuan / ton, loss rate, labor costs 5800 yuan / ton electricity conversion, the production of one ton of 40S carded cotton yarn cost has reached 24 thousand and 200 yuan / ton. At present, universal comb 40S market price of about 23 thousand yuan / ton, the cost upside down 1200 yuan / ton.

Zhu Minfeng reflect, although prices rising costs, but because the downstream demand does not support enterprises cloth, spinning enterprises this year the price per ton only rose 50 yuan to 100 yuan, completely unable to fill the skyrocketing cost brought by the loss of profits. Today, spinning enterprises are in the hands of how many cotton spinning on how many yarn status, dare not rush start. Although Zhu Minfeng's cotton production was enough by November, the cotton in his hands could last only a few days. Nevertheless, the Xinjiang cotton trading volume is still low, the inquiry, they buy less, everyone is watching.

Zheng Bo also said, according to Zhuo statistics, the cotton market in the state have no market price. In this year, prices rise significantly under the condition of more than medium-sized enterprises in Jiangsu and Zhejiang have taken early cotton or cotton State Reserve, enterprises can support up to November. While Henan and other inland provinces due to market to rely more on the Jiangsu and Zhejiang area, and the poor environment, the survival difficulties in high price environment.

Since the beginning of this year, the cost of raw materials, labor and so on has risen, which has made the textile industry whose profits are meager have been seriously impacted. According to the National Bureau of statistics, as of June 2016, China's operating income of more than 20 million yuan of textile enterprises were 19937 units, compared with 22484 in 2011, a decrease of 2547. In the first half of 2016, the net profit of listed textile enterprises continued the downward trend in the past three years, and net profit fell by over 10% over the same period.

Industry calls for cotton dual track system

Cotton price trend closely affects the textile enterprises. Previously, Hubei, Shandong, Hebei