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Cotton market supply than demand pattern will continue? When will cotton prices be stable?

2022-08-08 10:20:09
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After the investigation trip to Xinjiang cotton, I have a basic grasp of the information about Xinjiang cotton production and other related aspects. In general, the price of cotton this year is not as good as last year, and the pattern of cotton supply exceeding demand still continues.


This research let the author have a more profound understanding of the cotton market, at home and abroad when cotton prices fell sharply, the cotton industry was indeed seriously impacted, the distance from the new season cotton market time is approaching, and last year's cotton inventory is still very large. Xinjiang surveyed enterprises believe that last year's commercial inventory is about 3 million tons, regardless of the authenticity of this data, only the large cotton inventory is an indisputable fact.


Data from the National Cotton market monitoring system showed that as of July 28, the cumulative sales of cotton in China were 3.815 million tons, a year-on-year decrease of 2.105 million tons, among which the sales of Xinjiang were 3.315 million tons, a year-on-year decrease of 1.913 million tons. Look from this one data, the cotton quantity that did not sell last year is larger. The figure could be even higher if cotton bought by traders and not yet sold is included.


What will the cotton crop be this year? From the China cotton net reporter survey, this year Xinjiang cotton output or year-on-year increase, the specific increase range also needs the final production data verification. Local professional cotton farmers said: "The national cotton market monitoring system in June forecast Xinjiang cotton output of 5.525 million tons, but according to the current cotton growth situation, this year's output is expected to be close to 6 million tons." If this data is true, this year cotton output increase is indeed not small. Of course, when the new flowers are not yet on the market, the authenticity of the data remains to be verified, but from the side reflects that this year's cotton growth is indeed very good.


In last year's cotton stock a large number of remaining balance, this year's new flower output is increasing, the pressure on the cotton market is self-evident. The person in charge of Xinjiang gining enterprises said that the current cotton sales are slow, the enthusiasm of downstream procurement is very low, especially in the case of large fluctuations in cotton prices, many enterprises look at cotton, very worried about just purchased cotton, the price has fallen sharply, resulting in enterprise losses. At present, cotton prices have fallen to near the five thousand mark, ginning enterprises and textile enterprises hope that cotton prices can be stable, and only in this way can consumption slowly recover.


New season cotton market for more than the pattern will continue, cotton price when to stabilize, cotton spinning industry winter period will continue? This is a real problem that enterprises are very concerned about today.

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