2016 China Cotton Industry Development Summit Forum Opened In Wuhan

Distinguished guests, ladies and gentlemen, friends

Today, the 2016 China Cotton Industry Development Summit Forum is solemnly opened in the prosperous and beautiful city of Wuhan, Hubei Province. On behalf of the All China Federation of Supply and Marketing Cooperatives, I would like to extend my warm congratulations on the opening of this forum! I would like to extend my sincere welcome to all guests present at the forum and friends from the cotton industry! I would like to express my heartfelt thanks to the Hubei Provincial People's Government and the Supply and Marketing Cooperatives for their strong support for this forum!

Since 2004, China Cotton industry The Development Summit Forum has been successfully held for six times and has become an exchange platform with wide influence and popularity in the cotton industry at home and abroad. It has made unremitting efforts and contributions to promoting the development of the cotton industry and promoting win-win cooperation in the industry. The theme of this forum is "the road of cotton industry development under the new pattern", and it was held in Hubei Province, a major province of cotton production and trade in China. It is of great practical significance to promote the cotton industry to follow the trend, explore new ideas, and seek new development.

At present, the world economy is in a period of deep adjustment, and the development of global trade has entered a downturn; As China's economic development enters the new normal, its economic growth rate, development mode, structural adjustment and development impetus are accelerating transformation and upgrading. In the face of the complex macroeconomic environment, the Chinese party and government clearly put forward the important strategic task of thoroughly implementing the development concept of innovation, coordination, green, openness and sharing, and accelerating the supply side structural reform. The purpose is to improve the quality and efficiency of the supply system, and further stimulate market vitality and social creativity. The core of promoting agricultural supply side reform and accelerating the transformation of agricultural development mode is to focus on market demand for production, optimize resource allocation, and expand grain and important agriculture, including cotton product Effective supply, enhance the adaptability and flexibility of the supply structure to changes in demand.

For the cotton industry, the supply side reform is the driving force to promote the transformation, upgrading and sustainable development of the industry. In recent years, affected by the global economic crisis, China's cotton consumption tends to be weak, inventory reaches a historical high, market supply exceeds demand, and the cotton industry has entered a critical period of transformation and upgrading. In the face of the rapidly changing and upgrading consumption structure, we need to open up the situation on the supply side, reduce production capacity, inventory, cost, and make up for weaknesses, so as to match supply with demand. This year is the third year for China to implement the target price pilot policy for cotton. On the whole, the price returns to the market, and the basic income of cotton farmers is guaranteed, spin The cost of raw materials has decreased, and the reform effect has begun to show; But at the same time, the problems such as high cotton planting cost and uneven cotton quality have not been fundamentally solved, which is related to our management mode of focusing on yield and light quality and decentralized and extensive business model for many years. With the transformation and upgrading of the textile industry, the production capacity of low-end products has shrunk, and the production capacity of medium and high-end products has increased, putting forward higher requirements for cotton production. Improving quality and efficiency, and expanding consumption have become a new pattern for the future development of the industry.

The Chinese supply and marketing cooperatives are cooperative economic organizations serving agriculture, an important carrier for the Chinese party and government to promote the work of "agriculture, rural areas and farmers" in the form of cooperative economic organizations, and participate in the affairs of the International Cooperative Alliance on behalf of Chinese cooperatives. Under the new historical conditions, supply and marketing cooperatives need to play a greater role in promoting the structural reform of the agricultural supply side, building a modern agricultural production and management system, promoting the moderate scale operation of agriculture, or promoting the integrated development of rural industries and increasing farmers' income. At present, we are speeding up the comprehensive reform of supply and marketing cooperatives in accordance with the requirements of the central government. At present, we have achieved phased results in the appropriate scale operation of agriculture and the development of agricultural socialized services. Cotton is the traditional advantageous field of supply and marketing cooperatives. Since the market was fully opened in 2001, the cotton enterprises of supply and marketing cooperatives have accelerated reform and opening up in the leadership and services of the China Cotton Association, always maintained the leading position in the market, and played an important role in maintaining market stability, protecting the interests of cotton farmers, and promoting the healthy development of the industry. Last year, we released the Guiding Opinions on Deepening the Reform, Transformation and Upgrading of Social owned Cotton Enterprises. In the future, we will focus on promoting the mergers, acquisitions, restructuring, transformation and upgrading of social owned cotton enterprises, accelerate the integrated development of the primary, secondary and tertiary industries, make enterprises stronger, larger, better and better, and continue to become the backbone of serving the "three rural areas" and macro regulation.

In the face of the new pattern of cotton industry and industry development in China and the world, we need to better implement the five new development concepts, start from the supply side, and inject new impetus into the development of the industry with better quality and services. We sincerely hope that this forum will achieve consensus and results in the following four aspects.

　 First, focus on supply side structural reform and accelerate transformation and upgrading

In the face of the sluggish textile demand situation and consumers with increasingly higher requirements for product quality, brand and safety, we need to reduce ineffective and low-end supply and expand effective and high-end supply to meet demand. The key point is to improve the quality and efficiency of cotton production: when formulating policies and standards, it is suggested that the amount of subsidies and price should be linked to quality, and high-quality and high price should be advocated; Improve the agricultural socialized service system and reduce the cotton production cost by developing various forms of moderate scale operation; Improve circulation efficiency by developing e-commerce and modern cotton logistics; Implement brand strategy to solve the dilemma of high cost and low premium of cotton products. In 2010, the China Cotton Association registered the quality certification trademark of "China Cotton" and advocated the concept of "home-made, high-quality, pure cotton and environmental protection" to promote the consumption of domestic cotton by holding promotional activities, training, network and media publicity. In the future, we hope to continue to take the "China Cotton" brand as an opportunity to improve the overall quality level of China's cotton and cotton products, promote the improvement of quality and efficiency, transformation and upgrading of the industry.

　　 Second, innovate the business model and improve the service function

At present, the country is making great efforts to develop the Internet and big data. Cotton enterprises should seize the opportunity, innovate business models, expand marketing channels, explore the "Internet+cotton" model, promote the integration of modern information technology and traditional trade methods, promote the integration of channels and brand resources, promote the combination of online and offline transactions, and create a new business model of cotton trade circulation. At the same time, by accelerating management service innovation, we will change the conventional and extensive business model into a modern and precise service model, provide professional and personalized services for textile users, and improve the added value of products and services.

　 Third, promote industrial integration and promote coordinated development

Promoting the integrated development of primary, secondary and tertiary industries is an important direction to improve the modern agricultural industry system and accelerate the transformation of agricultural development mode. The integrated development of the cotton industry should focus on the transformation of the growth mode of the cotton industry, take improving cotton quality and labor productivity as the core, take the interest connection as the link, integrate production, processing and management resources, and promote the close connection and coordinated development of all links of the cotton industry chain through technological and institutional innovation. In the production link, around solving the problems of "who will plant cotton" and "how to plant cotton", play the role of scientific research institutions, cotton farmers' cooperative organizations and industry associations, and promote large-scale, standardized and mechanized cotton planting; In the circulation link, we will focus on resolving overcapacity, modernize and upgrade the processing and storage facilities in the main cotton production and marketing areas around improving the cotton processing quality and circulation efficiency, and establish an efficient and unimpeded modern cotton logistics and distribution system; In the consumption link, we should take the market demand as the guide, "set production based on sales and quality based on demand", and strengthen the in-depth cooperation with textile enterprises.

　 Fourth, strengthen exchanges and cooperation to achieve mutual benefit and win-win results

In the era of economic globalization, economic ties between countries are increasingly close. In the face of profound changes in the pattern of international economic cooperation and competition, the Chinese party and government are accelerating a new round of high-level opening up. China's cotton industry should seize the opportunity to strengthen new momentum of cooperation, add new impetus for reform, and create new competitive advantages in the process of opening up. By strengthening cooperation and exchanges with international peers, it can effectively connect the supply and demand of all parties, use supply innovation to drive demand expansion, and learn from the world's advanced technology and management experience. At present, China is still an important cotton producing and consuming country in the world, with a complete industrial chain and rich industrial resources. In many aspects, we have complementary advantages and broad cooperation space. Let's work together to advocate the pure cotton life, promote the consumption of cotton and cotton products, and jointly build a new industrial pattern with high efficiency, product safety, resource conservation and environmental friendliness, so as to make new and greater contributions to the sustainable development of the world cotton industry.

Finally, I wish this forum a complete success!

Thank you!