资讯 1 10 英文网 283 Cotton News 563252 Railway delivery of Xinjiang cotton under stress this season 2016-09-19 14:44:07 yangfang
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Railway delivery of Xinjiang cotton under stress this season
2016-09-19

According to the statistics of related authorities, the quantity of ginned cotton transported from Xinjiang to inland China by railway and road in 2015 and 2016 was respectively 1.9369 million tons and 1.0967 million tons, making 3.0336 million tons together. Some institutions and cotton enterprises estimated that, exclusive of the national cotton reserves transferred to inland warehouses, the total quantity of Xinjiang cotton exported from Xinjiang in 2015 and 2016 was between 2.8 million to 2.85 million tons. A total of ginned cotton of 650,000 to 750,000 tons was consumed within Xinjiang (including bat wool). The findings of investigation carried out by the agricultural authority and some other institutions of Xinjiang show that in 2016 and 2017, Xinjiang Cotton Region will achieve the goal of “same income with reduced plantation”, and the total output is expected to reach 3.7 million to 3.8 million tons. 

 

The statistics of Xinjiang Autonomous Region shows that as of the end of 2016, the number of spinning spindles brought into operation in Xinjiang reached about 12 million (about 1 million to 1.2 million tons of cotton is consumed). In addition, enterprises in Xinjiang have access to subsidy for exported yarn, subsidy for electric charge and revenue exemption. The yarn produced in Xinjiang has competitive advantages over that produced in inland China. It is expected that the operation rate will be high. Therefore, the export of cotton from Xinjiang will continue to drop to a point below about 2.5 million tons. The author believes that, exclusive of the part of Xinjiang cotton put into the state reserve cotton, in 2016 and 2017, the export of Xinjiang cotton in 2016 and 2017 will not be reduced remarkably on the following ground: 

 

I. The cotton plantation area decreased noticeably in 2016. With the addition of bad weather, the per unit yield of ginned cotton and its quality both reduced greatly, resulting in increasing reliance of domestic textile enterprises on Xinjiang cotton. Due to the low purchase price of seed cotton, effect of ratio of grain and cotton price and reduced labor force, and high enterprise of labor cost in 2015, the cotton plantation area in the YangtzeRiver basin and the YellowRiver basin in 2016 has been reduced generally by more than 15%. It can be reasonably expected that the quantity of ginned cotton produced in inland China sent for notarial inspection will still be very low. 

 

II. Considering the government regulation, there will be no hope for increase of cotton import quotas. There are very few cotton types that can be used in place of Xinjiang cotton with high count density and high yarn quality, such as American cotton, Australian cotton and Brazilian cotton. The statistics shows that during September 2015 and July 2016, China imported 890,000 tons of foreign cotton in total, decreased by 700,000 tons or 44% year on year; during January 2016 and July 2016, China imported 525,000 tons of foreign cotton in total, decreased by 527,000 tons or 51% year on year. 

 

III. The imported cotton yarn poses great impact on low-end products. Therefore, only the high-count generally combed yarn, combed yarn and high-count blended yarn are the only highly marketable ones. This means Xinjiang cotton is irreplaceable. According to the statistics of Cotton Association of India, in 2016 and 2017, the yield of Indian cotton will reach 5.61 million to 5.78 million tons. The cotton yarn imported from India, Pakistan and Vietnam will face a lasting price regulation period. The price advantage of C32S and foreign cotton with a lower count will predominate. Weaving factories and traders of China start are expected to purchase more imported cotton yarn. To avoid competition from low-price, low-profit and low-end products, the textile enterprises in China can only turn to generally-combed and finely-combed yarn above 40S and the requirements on quality and class of cotton will be more rigorous. 

 

IV. With the subsidy for transportation of cotton outside Xinjiang (500 yuan/ton), the cost difference between sales of ginned cotton within and without Xinjiang is only 100 to 300 yuan/ton. The textile enterprises in Xinjiang have a very wide range of choices. With so many types of cotton on the market and great difficulty in sales, cotton enterprises tend to transport cotton to inland China. The cotton consuming enterprises in China are relatively gathered and they need a great amount of high, medium and low-end cotton.