Policy dividend boosts China's cotton spinning industry

It's not the same.

In this year, the temporary purchasing and storage policy was withdrawn and the target price policy was replaced. As a result, the price of cotton inside and outside the market that has been in a fragmented state for a long time will converge. In the short term, textile companies will no longer "use the world's most expensive cotton" to enhance their competitiveness. In the long run, it is conducive to the normal development of the entire cotton industry chain.

At present, the face of textile enterprises is undergoing profound changes. A person in charge of a 200,000 spindle spinning company in Jiangsu said that currently the high-cost yarns of their stocks have been sold out. Now all of them are low-cost new-season cottons, and therefore they have realized real profits. Taking 40 combs produced by their factory as an example, the main cotton blend is Xinjiang cotton and real estate cotton. At present, Xinjiang 3128 cotton has a factory price of 14,300 yuan/ton, and real estate cotton 3128 has reached a factory price of 13,100 yuan/ton, compared with 2014. Half a year of 17,250 yuan / ton fell 4,000 yuan / ton line. However, since May 2014, the price of 40 combed yarns has fallen by 2,600 yuan/ton. Therefore, the textile company's yarn profit increased by 4000-2600 = 1,400 yuan / ton line.

“It is not only 40 combs, including almost all cotton yarns such as carded and air-spinned yarns. It basically achieved a positive turn of profits.” The person in charge told the author that the reason why many companies still “come in pain” In fact, it is because the downstream demand has not yet appeared, and the finished products are still in a state of unsalable sales. However, the pain of the textile companies at the moment is no longer a pain.

In addition to the substantial decrease in raw material costs, the most impressive impression for spinning companies since October 2014 was the significant improvement in cotton quality. In the three years of temporary storage and storage, textile companies use cotton to save a small amount of imported cotton, and most of them purchase national reserve cotton by auction. However, the implementation of temporary storage policy, cotton farmers are only concerned about the production of cotton, resulting in China's cotton, especially the quality of Xinjiang cotton decreased significantly, some ginning factories in order to increase the amount of deposits, some of the low-grade cotton and high-grade cotton mixed together Pulling down the quality of high-grade cotton, cotton quality issues have become the most important issue for textile companies. However, since October 2014, textile companies have directly connected with cotton companies and cotton companies, and the scope of choice has been enlarged. Buying or buying what quality of cotton is entirely a matter for textile companies. In this way, the upstream cotton growers and ginners consciously grade the cotton during the sales and processing of cotton to increase the benefits.

“In the past two years, the market has intensified the reshuffle of textile companies and forced the transformation and upgrading of enterprises.” A market source said that after years of competition, all the “lions” that can survive are now transformed and transformed. the result of.

We have reason to believe that the target price policy will bring more than just the current interest to textile companies. It will eventually become the "propelling agent" for China's cotton textile industry to take off again.