Yangtze River Valley: Cotton Prices Continue To Fall Before The Spring Festival

In February 3rd, the price of seed cotton in Jiangsu Dafeng and Yancheng was 3.10-3.15 yuan / jin (39% of lint, 10% of water), and most cotton enterprises had stopped collecting.

A person in charge of a 400 type enterprise in Yancheng said that at present, the acquisition of local seed cotton was about 60%, much slower than in previous years.

First, cotton farmers are still reluctant to sell. Two, cotton companies dare not open their acquisitions.

The price of seed cotton in Wuhan, Jingzhou and other places in Hubei decreased slightly, and the mainstream price in Wuhan was 2.80-2.95 yuan / jin (lint 38%, moisture 10%), down 0.05 yuan / Jin compared with last week.

Up to now, only two or three enterprises in the region have bought a small quantity of 400 cotton seeds, and more than ten thousand cotton seeds are being collected.

The reasons for the fall in seed cotton prices are: first, most of the buyers in Shandong return home, and cotton exports stagnate; the two is

Falling prices drag down seed cotton.

On the same day, the loading price of cottonseed was 1.08 yuan / kg (12% of oil and 12% of moisture), which dropped 0.02 yuan / Jin compared with last week.

Some cotton companies worry that cottonseed prices will continue to fall, they have stopped seed cotton and sell cotton seed stocks wholeheartedly.

and

The market is similar to the real estate cotton spot.

Many cotton enterprises in Jiangsu reflect this week's entry into the local 3128 level.

The ex factory price is 13000-13200 yuan / ton, 4128 level 12400 yuan / ton, 2227 class 12200 yuan / ton, all lower than 100 yuan / ton last week.

A person in charge of a cotton enterprise said that only 150 tons of stock were left in their factory at present, but there was no inquiry in recent years. They also actively communicated with their old customers, but most of them said that there was no procurement plan before the Spring Festival, and that they could only wait until after the Spring Festival.

It is understood that the Yangtze River Basin this year, textile enterprises ahead of the holiday significantly increased.

A Yancheng textile enterprise official said that their factory had recently finished the last batch of orders and then gave workers a holiday.

"We are raw materials, finished products inventory is not much, all the situation and so on after the end of the year reconsideration."

The person in charge said that near the end of the year, because of the great divergence of the cotton market trend after the Spring Festival, most of the enterprises are going to light up the new year. One is to reduce the amount of raw materials to be replenishment before the youth, and the two is to minimize the inventory of finished goods.

According to him, at present, most of the local textile enterprises stock material in 15-30 days.

Sporadic cotton turnover, the current customs clearance of the United States cotton, Australia cotton mainstream offer at 16200-16500 yuan / ton, 17200-17300 yuan / ton, traders basically no goods in hand, in a price free market.

The S-6 grade India cotton and SM grade Brazil cotton prices are respectively 13800-13900 yuan / ton, 15000 yuan / ton, and the price center of gravity has dropped slightly.