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High Quality And High Price Is The Inevitable Trend Of Marketization Of Cotton Industry.

2016/11/15 11:19:00 35

Cotton PricesMarketizationFabric Market

Xinjiang issued the notice on Issuing the implementation plan of the the Xinjiang Uygur Autonomous Region cotton target price reform trial in 2016 (new government hair number 2016) 116.

So far, the Cotton Subsidy Policy of Xinjiang has been clear in 2016, and the pilot work of implementing cotton target price reform for 3 years is about to end.

After the target price reform pilot, the domestic cotton prices truly reflect the market supply and demand relationship, the price level has dropped significantly, reducing the cost of cotton production of textile enterprises, enhancing the competitiveness of the international market, and improving the efficiency of enterprises.

3 years of cotton target price reform pilot project to explore the price formation mechanism and government of agricultural products.

subsidy

Decoupling.

In the past 3 years, how effective has cotton target price been in the pilot area? What are the attitudes of cotton growers, cotton processing enterprises and cotton textile enterprises to this policy?

High quality and high price is the inevitable trend of the marketization of the cotton industry. This also makes Xinjiang cotton farmers and cotton enterprises change the situation of one-sided pursuit of high linen and high output during the temporary storage and storage period.

During the interim purchase and storage before the target price policy pilot, the main body of the purchase and acquisition is the state, and the acquisition enterprise is pursuing high volume rather than high quality.

Insiders said frankly, "now the acquisition of enterprises is for their own procurement, will strictly control, subdivision standards, before the temporary storage is only for the country" shopping ", and later how to do nothing to do with themselves.

"Therefore, before the cotton target price pilot starts, cotton quality is difficult to meet the requirements of textile enterprises such as spinnability and consistency."

Concerned people admitted that although the current cotton quality has not reached the best state before receiving and storing, it is only a matter of time.

At present, under the pressure of marketization, cotton planting and picking are becoming more and more sophisticated. "Planting links, such as the Xinjiang production and Construction Corps, will cater to the needs of textile enterprises and reduce the number of main varieties from 100 to 10.

Picking links were affected by the climate last year, and some Xinjiang cotton was "precocious". In order to ensure cotton length, some cotton fields were converted to hand picking.

According to the investigation of the relevant agencies, about 70% of the textile enterprises believe that the quality of cotton purchased in Xinjiang after the target price reform is obviously better than that in the past.

"Implementation

Target price

After the reform policy, when the market price is formed, the high quality and high price can be revealed. Therefore, farmers and processing enterprises pay more attention to quality control and control, enhance the quality of cotton, and better meet the demand of high quality cotton for textile enterprises.

In this regard, the national development and Reform Commission Price Division staff said that only from the first year of the reform pilot in 2014, the proportion of white cotton grade three above in Xinjiang autonomous region exceeded 90%, with an average length of 28.82 millimeters, an increase of 0.29 millimeters than that in 2013. The proportion of micron level a and B was 85.65%, 5.21 percentage points higher than that in 2013.

In 2015, due to the cotton disaster in Xinjiang, the supply of domestic cotton market in the whole year 2015/2016 showed a structural shortage of high-grade cotton, and this year's cotton quality will be greatly improved.

Dezhou Hengfeng Group Chairman Su Jianjun said: "this year's cotton quality has made great progress than last year, but high quality cotton resources are still relatively inadequate. Hengfeng group's proportion of raw materials in the current proportion of cotton accounted for about 30%, about 30% of the cotton can also make the enterprise very uncomfortable, hope that under the guidance of national policies, the quality of domestic cotton can continue to improve, solve the domestic cotton textile enterprises for high quality cotton demand."

Insiders said that Zhou Yejun, chairman of Wuxi Cotton Textile Group Co., Ltd. said that the adjustment of cotton policy is now centered around the core of cotton prices returning to the market.

cotton

The quality of cotton textile enterprises can meet the needs of product upgrading.

The upgrading of cotton quality this year is actually a reflection of the cotton policy effect.

Last year cotton quality was poor, and because of weather, there were also reasons for planting patterns and processing methods. This year, cotton quality has obviously changed greatly, indicating that cotton growers have heard the demands of textile enterprises.

Therefore, the quality of domestic cotton is expected to be better next year.

After the implementation of the target price reform pilot, the main body of the market is free to buy and sell, and the price of the cotton market is entirely determined by supply and demand.

In addition, the price gap between domestic and foreign cotton market has greatly reduced, and has returned to a reasonable range.

Domestic cotton sales price dropped from 19460 yuan / ton in December 2013 to 12596 yuan / ton in June 2016, a decrease of 6864 yuan / ton, a decrease of 35%. The difference between cotton price at home and abroad decreased from 5300 yuan / ton to 235 yuan / ton during the same period.

As a result, the efficiency of the cotton textile industry has been enhanced.


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