Cotton And Cotton Yarn Prices Will Go Up To Achieve Double Growth

"Imported cotton and imported yarn have lost their price advantage, according to the latest data of cotton and cotton yarn imports, prices and so on.

Among them, the number of imported yarns has declined significantly, and the cost performance of domestic cotton and domestic yarns has been further improved, and the market share is expected to further expand.

Wu Jian, a cotton trader in Hengshui, Hebei, said that compared with the same period last year, the daily life of the mainland textile enterprises such as Hebei and Shandong was stronger than ever, and the survival environment of the domestic cotton industry has been greatly improved.

Up to now, China has implemented the cotton target price policy in Xinjiang for several years. From the implementation effect, domestic cotton planting is further concentrating on suitable planting areas. The scale of cotton planting, mechanization, improved varieties and high quality have been continuously improved. The goal of policy making for cotton and its products in the country has been initially achieved, and the price of domestic cotton and domestic yarn has achieved the goal of pricing in the market.

It is understood that 1 to May this year, China's total

803 thousand and 600 tons, a decrease of 18.87% over the same period.

According to the relevant market institutions, the total import volume of cotton yarn in China will drop to less than 2 million tons this year, and the cotton consumption will be 1 million 860 thousand tons. In the past years, the imported cotton and imported yarn will seriously impact on the domestic cotton industry.

Wu Jian believes that the price advantage of domestic cotton and domestic yarn is improved, and the increase of market share is mainly due to the implementation of the cotton target price policy, and the price setting of the national cotton sale this year is close to the market reality.

In addition, the quickening of the domestic cotton industry's product structure adjustment and rapid upgrading of technological pformation will also help increase domestic cotton product demand.

It is understood that the current price of domestic cotton and domestic yarn is basically formed by the market mechanism, which can better reflect the market supply and demand, and is conducive to the rational production of cotton industry chain enterprises according to market changes.

More importantly, the price of domestic cotton and domestic yarn has already been in line with imported cotton.

Integration, quality is also constantly improving, and the determination of the selling price of national cotton is adjusted flexibly with the market, which makes the price difference between cotton and cotton inside and outside continuously shrinking. Many textile enterprises and cotton yarn demand enterprises, when purchasing raw materials, are more willing to choose domestic cotton and domestic yarn from the angle of cost performance.

In addition, the reduction in the number of imported cotton yarns will also directly lead to warmer domestic cotton and domestic yarn consumption.

And some cotton traders, textile enterprises procurement personnel to understand that the current domestic

Development is entering a good track of operation, which is relatively smooth from cotton cultivation, seed cotton purchase and processing to the final lint sale, cotton yarn and its downstream products consumption.

At present, the domestic cotton market has gone smoothly, and the demand for downstream industries such as textiles has kept improving. The market expects that the domestic cotton industry will continue to recover.

However, Lu Zheng futures cotton analysis teacher ZTE believes that due to the downward adjustment of cotton planting area in China this year, coupled with the changeable weather in some producing areas, the domestic cotton supply gap in the new year is estimated to be larger, which requires the import of cotton and national cotton reserves to make up. In the case of growing market demand, domestic cotton and cotton yarn prices are expected to continue to rise. If the downstream industries can not digest the pressure of raw material prices, the cotton industry will eventually have an adverse impact on the domestic cotton industry.