Hebei: Cotton Spot Prices Remain Stable

After the Spring Festival, most textile enterprises in Hebei started to resume production after ten of the beginning of the month. As most of the textile enterprises did not replenishment before the festival, some of the lower inventory enterprises began to buy cotton linen work after the resumption of production.

In March 2nd, the 2128 grade sale price of Xinjiang hand picked cotton in the local warehouse was 14400 yuan 14500 yuan / ton (gross weight, self raised, with ticket price). The selling price of 3128 grade lint was 14000-14100 yuan / ton, and the 3128 grade sales price of machine picked cotton was 13200-13300 yuan / ton, all of which maintained the level before the festival.

It is understood that most cotton enterprises are optimistic about better quality.

The first reason is that as the consumption is going on, the quantity of Xinjiang cotton is less and less good. Two, the inventory of textile enterprises is at a low level. At present, the main purchasing resources are Xinjiang cotton. The three is that the spinning enterprises produce more high and high cotton yarn products, and the purchasing quality of Xinjiang cotton is higher. Therefore, the quotation of cotton enterprises has continued the pre holiday level. However, due to the fact that the textile enterprises have not yet fully resumed production work, the spot market is only sporadic, and the number of spot pactions is expected to increase after the Lantern Festival.

Lint has maintained a strong trend due to the favored price of the spinning enterprises, but the lower quality index is not ideal, but the price is lower, most of the quotations are below 13000 yuan / ton, and sales are more difficult. In order to complete sales, there is still room for further decline.

Real estate cotton prices rose slightly after the holiday, 3128 grade lint.

For 13100-13200 yuan / ton, the sale price of grade 4128 lint is 12700-12800 yuan / ton, and the 1228 grade lint sale price is 12800-12900 yuan / ton, which is 100 yuan / ton higher than that before the festival.

According to a local cotton enterprise official, the cotton business at the end of this year lost the big umbrella of the national policy and increased the risk of operation. The seed cotton acquisition work was more cautious. Basically, it insisted on the strategy of selling production. If the market was not good enough, the sales of the enterprises were blocked, the enterprises temporarily stopped the purchase of seed cotton or slowed down the purchase work, and there was almost no inventory of lint, so cotton enterprises had no sales pressure at present.

Recently, with the upward trend of Zheng cotton futures market, most cotton enterprises have hedged in the futures market. In addition to the delivery month contract, the other contract quotations are all above 13300 yuan / ton. If the sale price of cottonseed is 1.13 yuan / kg, the loss is 3%, the processing cost is 1000 yuan / ton, and the conversion price is 1000 yuan / ton.

On the one hand, enterprises have low inventories and no sales pressure; on the other hand, there are channels for sales of enterprises, so cotton enterprises generally improve the sale price of lint, but at present, local cotton enterprises have not yet resumed seed cotton purchasing work, because the holiday atmosphere is still strong in the first month, and it is expected that the seed cotton purchase can only be carried out after the Lantern Festival.