2016 National Reserve Cotton Reserve Warehouse Announcement Is Expected To Release 4 Monthly Price

Recently,

It was a bit of a loss to meet with you on schedule. Fortunately, the China cotton reserve management company issued the announcement of the reserve warehouse of the state reserve cotton in 2016.

It can be seen that the relevant departments are already ready to make the rounds.

According to previous market rumors, this reserve cotton wheel out of the standard cotton pricing will be with the state.

A country representing the average price of 3128B grade lint in mainland China issued by the monitoring system

The B index (CNCotton B), Cotlook A index and CCIndex (3128B) are respectively 25%, 50% and 25% respectively. During the turn out period, the average price of the above Wednesday indices is the bid price for the next week.

As shown in the figure below, the Cotlook A index rose steadily in March 2016, and the CNCotton B index and CCIndex (3128B) slowed down slowly. It is estimated that the difference between the three indices in April will continue to shrink.

In March, the average weekly price of the three indices was 11333-11515 yuan / ton in proportion to their respective ratios, and the average weekly price in April would be lower than that in the interval.

According to the usual practice, the lifting and discount of the reserved cotton wheel will be calculated according to the domestic cotton quality difference table released by the China Cotton Association.

April 2016

Remain unchanged, and the index spreads remain at the level of March.

Considering the storage time, environment and other factors, the reserve cotton in this round will be only 300-1250 yuan / ton in color grade due to the longest storage time in 2011, but the discount rate of other indicators is expected to be smaller than that of other year's reserve cotton.

Considering the characteristics of the structural shortage of high grade cotton in this year, this round may give priority to high grade domestic cotton and imported reserve cotton, and the price of reserve cotton is indeed advantageous, especially for textile enterprises with low color level.

In addition, according to the current sales situation of cotton yarn, the sales of medium and low count cotton yarn are better than that of high count and Combed Yarns, and the spinning high count combed yarn enterprises usually choose high-quality Australian cotton, Xinjiang hand picked cotton and long staple cotton, so the price and quality of the reserved cotton will be the key factor to decide the turnover.