Seed cotton prices have started to rise

With the purchase of the top-selling cotton at 19,800 yuan/ton on September 1, the national cotton storage company has not received any cotton in the previous two weeks. But fortunately, the price of seed cotton has started to rise.

For example, for the national cotton purchase and storage price, the price of the 3rd grade seed cotton should be around 4.3 yuan-4.4 yuan per catty. Ma Junkai found that the purchase price of seed cotton in the market of Shandong cotton wind vane Wucheng County has reached 4.4-4.5 yuan/kg, which is higher than the price of seed cotton corresponding to the national collection and storage. Affected by this, not only cotton processing companies, cotton spinning companies are optimistic about the future order price situation.

According to information disclosed by the National Development and Reform Commission, the price of domestic standard grade seed cotton, lint, and cotton yarns has risen in the second week after the country started the temporary cotton purchase and storage. On September 16, the average purchase price of seed cotton in the Mainland and Xinjiang was 4.22 yuan/kg and 4.32 yuan/kg, respectively, up 1.4% and 0.5% from the previous week. The average sales price of standard lint in the Mainland and Xinjiang were 19,755 yuan/ton and 20,187 yuan/ton, respectively, up 0.8% and 0.1% from last week.

The opening price of cotton has risen. Tianmen City Want Want cotton cultivation professional cooperative Zeng Haijun told the author that up to now, although the market price of seed cotton is about RMB 4.2/kg, farmers are generally not interested in cotton sales.

The above-mentioned cooperatives have several thousand cotton farmers. The reason for their reluctance to sell is because the prices were higher last year. For example, the cotton sold at the highest price reached the price level of 67 yuan per kilogram. In fact, the current sales price is definitely making money. Zeng Haijun said.

The author learned from Xiantao City, adjacent to Tianmen, Hubei, that the current price given by cotton traders in the area has reached RMB 4.3/kg. A local farmer told the author that the price of cottonseeds and fertilizers has not risen sharply this year, and the price increase has been mainly artificial. So I don’t feel that I have much income, and I’m not interested in cotton sales.

In Shandong, Wucheng County, which has a price indicator, has currently acquired a price for newly-listed Grade 3 seed cotton that has reached 4.4 yuan-4.5 yuan per kilogram, which has exceeded the level of 4.3-4.4 yuan/kg for the seed cotton price corresponding to the national cotton price of the National Development and Reform Commission.

Ma Junkai, deputy secretary-general of the Cotton Association of Dezhou, Shandong, carefully calculated that the entire cotton price has started to pick up in more than 20 days. In March of last year, the highest price for seed cotton in Shandong last year reached 7 yuan per catty, and it has since fallen until 3.8 yuan per catty in early August. However, the price of these cotton products also rose to the level of buying 4-4.1 yuan.

Since the market cotton price is already higher than the national purchase price, the country can't receive cotton. This is a normal phenomenon, indicating that the temporary control policy of open storage has played a role. Ma Junkai said.

Prior to September 1, the state started to collect and store cotton, and the prices of seed cotton and lint across the country are rising.

According to information provided by the agricultural sector, according to information provided by the deputy secretary-general of the Hubei Cotton Association, the overall growth of cotton this year is good, but whether the recent rains have affected the harvest still remains to be seen. Seed cotton prices in accordance with the current 4.2 yuan / kg point of view, not very low, some cotton farmers may take into account last year's price rose to 6-7 yuan / kg, there are some psychological gap. The National Development and Reform Commission is opening up acquisitions this year. This is good for protecting the interests of cotton farmers, and prices will generally be stable.

The situation in the entire industry has turned better. With the situation that cotton prices have improved, the situation in the cotton spinning and garment industries has also taken a turn for the better. This has become a major bright spot for the current improvement of the upstream and downstream industries of cotton.

Ma Junkai told the author that originally when the price of cotton fell, the theoretically downstream industries should be able to have greater profits because of the cost reduction. However, the actual situation is not the case, because the price of cotton fell, the textile and clothing industry believe that there is still more room for price fall in the future, so the purchase of cotton yarn has been delayed. With the price of cotton falling, cotton yarn, textiles, and garment industries are also prosperous and loss-making.

The current situation is that the cotton spinning industry has generally begun to increase its efforts to start construction. The biggest problem is that people can't be recruited, otherwise all the workshops should be full. He said.

It is reported that the local textile general workers in Dezhou, Shandong province need to pay 1,800 yuan in one month, which is 1,500 yuan more than last year. This is due to the fact that the prices of textiles and clothing in the domestic market have begun to stabilize. Therefore, at present, with domestic trade enterprises that are mainly engaged in the domestic market, the general production order situation has begun to improve.