National Cotton Sale Is Hard To Suppress Cotton Prices Skyrocketing &Nbsp; Downstream Cotton Enterprises Face Losses

　　 "I started in 2003. cotton "I haven't seen anything like this before, like crazy." Yang Shanhu, director of the Gaotang golden hair cotton factory, told reporters on the other side, "the cotton seed should not be sold first, and it will rise tomorrow morning." on the 27 day, the price of the seed cotton is nearly 6.3 yuan per kilogram, compared with half the price last year. Almost crazy Cotton price It has already indicated the coming of a strong wind and rain in China's textile industry.

Selling cotton and raising cotton prices

Shandong is the largest province of cotton spinning in China. "The price rises are very complicated. There are climatic reasons. There are problems in cotton purchase and sale system. There are problems in cotton production and farmers' reluctant sale in individual provinces. There are self-discipline problems in industry, including speculation in hot money." Liu Xinguang, vice president of Shandong Textile Industry Association, said.

Generally speaking, the maturity of cotton is postponed this year, about two weeks late. In view of the reduction of cotton stocks, the state began to sell about million tons of State Cotton stores in order to protect cotton. But people in the industry believe that in the bidding process of reserve cotton, part of the textile enterprises lack the spirit of self-discipline, competitive price, starting price from 16 thousand and 500 yuan, the highest to 25 thousand yuan.

"State owned cotton has no price limit. For the first time, about more than 800 companies took part in the auction. The first day had been dragged until two o'clock in the second day online. There is no maximum price and no time constraint for auction. " Some people in the industry objection to the sale of national cotton reserves.

stay National cotton reserves In the sell-off, new cotton went public. "To tell you the truth, the country has made money. But the side effect is the purchase price of new cotton. In the past year, the new cotton was five or six yuan / kg, and now it rises to 12 yuan. Xinjiang cotton sold to 27 thousand yuan per ton, still can not get hand. " Liu Xinguang said that the state should adopt price fixing measures to control cotton prices at around 20 thousand yuan per ton.

Some enterprises responsible person told reporters that after the cotton reserves, the quality will be affected, the time will be long, the grade will decline, the cotton fiber strength will be affected, and will increase the use cost of cotton. Unlike the state's large stockpile of cotton, the quality of cotton yarn can be guaranteed by independent storage. Therefore, many enterprises suggest that the state should reserve less, and enterprises will have more reserves. However, enterprises reserve cotton but can not enjoy the funds of the agricultural development bank. It is understood that at present, some SMEs can not borrow money, and can only rely on private lending funds to deal with.

A month later, textile enterprises will face losses.

Shandong is a traditional cotton producing area. Recently, reporters interviewed in the western Shandong cotton producing area known as "gold Gaotang and silver Xiajin" found that most enterprises were ordered by cotton price of 20 thousand yuan. If the order is delivered according to the current cotton price, the company will face losses.

Jiang Luming, vice president of Ji'nan knitwear Knitting Limited by Share Ltd, told reporters that 90% of its products were exported to Australia, Japan and other markets. The price of cotton rose by 60%-70% compared with the same period last year, which made the company at a loss.

According to the Shandong Textile Industry Association, the production of cotton spinning industry in Shandong and the price of cotton yarn show that the company still has considerable profits. "But once stock cotton is used up, high price cotton and cotton yarn price can support, whether it will cause the downstream can not afford to eat, this is what we are worried about." Liu Xinguang said.

Now, enterprises usually have one month to a month and a half cotton inventory. The industry is expected that a month later, as the cost of cotton rises, cotton yarn prices will definitely rise, and downstream products will be affected, which will also have a direct impact on the domestic textile market.

It is suggested to speed up the integration of domestic cotton with the international market.

Insiders suggested: first, the state adopted price fixing measures to limit cotton purchase price and supply price. According to the National Cotton Conference, cotton planting area and output are basically stable this year. Global output is also stable. The industry has reflected that China's cotton will not be released from the market, nor will it adopt the ceiling price.

Two, we should abolish the quota system of cotton and speed up the integration of domestic cotton with the international market. Liu Xinguang said that the price of world textiles is linked to the price of raw materials in the world, but now domestic cotton prices are not in line with foreign countries. Domestic cotton prices are much higher than foreign cotton prices, and foreign cotton prices are rising.

Three, it is suggested that cotton farmers should be directly compensated. At present, the main problem that affects cotton growers' enthusiasm is efficiency.

Liu Xinguang said that through direct subsidy, farmers can taste the sweetness and let farmers feel that they can make money from planting cotton. China's cotton production mode is still lagging behind the developed countries such as the United States, and its labor productivity is low and its comparative efficiency is low. This situation needs the attention and change of the state.