Cotton Prices Will Be Affected By Throwing Reserve Prices In The Short Term

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< p > cotton reserves were put into the market by public bidding before the market.

This action once again aroused the active attention of all parties in the market.

From last week's a href= "//www.sjfzxm.com/news/index_c.asp" > textile > /a > enterprise participation situation, the average turnover rate was over 40%, and the auction price of grade 3 cotton was between 19100 and 19300 yuan / ton.

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< p > for this, many textile enterprises believe that the current 19000 yuan / ton throw price is still too high, and foreign cotton price difference of about 5000 yuan / ton, throw store on textile enterprises and cotton prices can still have much influence is unknown.

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< p > > a href= "//www.sjfzxm.com/news/index_p.asp" > Hubei < /a > Baiyin cotton industry Limited by Share Ltd is a cotton trade, cotton acquisition processing, cotton warehousing and logistics as the main business, the annual cotton trade volume of about more than 30 thousand tons, and won the well-known cotton business in China.

"Textile enterprises will compete according to their actual conditions, and will be more cautious for cotton in the year 2008 and previous years."

Li Chun, director of the information center of the company, said that because most textile enterprises mainly consider their own cotton demand, auction price, warehouse point distance, capital and quality of Chen cotton, for the very tight textile enterprises, they do not consider participating in the national bidding for the time being.

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< p > "but the demand of textile enterprises for high-grade Xinjiang cotton is relatively large."

Li Chun said that because of the state's storage for 4 consecutive years, most of the Xinjiang cotton with good quality of grade 3 and above had entered the national reserve. There was a lack of Xinjiang cotton in the textile enterprises, and the demand for Xinjiang cotton was large. Before the start of the storage, the 3 grade cotton in Xinjiang increased by 500 yuan / ton.

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< p > but Li Chun told the futures Daily reporter that this year's a href= "//www.sjfzxm.com/news/index_cj.asp" > cotton trade < /a > the trade space of the enterprises in real estate cotton and Xinjiang cotton is not large.

"A small number of cotton trade enterprises are involved in the sale of small package cotton, but the quantity is small, and the cotton suitable for storage in Xinjiang is also stored locally, and the amount of Xinjiang cotton is also very small."

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< p > according to the introduction, cotton trade enterprises can only increase the purchase quantity of imported cotton under the condition of domestic procurement difficulties.

"However, most cotton trade enterprises have to use 40% full tariff clearance to limit the profits of cotton trade enterprises.

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< p > for future prices, Li Chun said that in the later stage, as the state reserves sufficient resources, the auction price will fall naturally, and the choice of textile enterprises will also increase. This will truly fulfill the goal of national reserve and guarantee cotton supply and stabilize cotton prices.

"In the short term, cotton spot prices will fluctuate in a narrow way, and the key to the future cotton futures market and spot market is the future policy of purchasing and storing, throwing and storing".

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