Xinjiang Cotton Target Price Reform Implementation Plan Will Be Final Approved In 2015.

It is reported that

The new cotton season will start soon, but Xinjiang cotton enterprises are facing greater pressure on acquisitions.

In 2014, the central government explicitly proposed abolition.

After the storage, Xinjiang adopted the "area + sales" subsidy method, that is, 60% was distributed according to the production area, and the 40% was paid according to the sales volume.

This year, the plan is to adjust the amount of subsidy mainly according to output.

It is understood that the implementation of the Xinjiang cotton target price reform plan in 2015 is still waiting for the final reply of the relevant state departments.

Regarding this, Wang Qianjin, director of the Information Department of Shanghai international cotton trading center, said that as we all know, the current policy that may have an impact on the cotton market is mainly concentrated on three aspects, one is the direct subsidy policy, the two is the quota policy, and the three is the dumping policy.

The basis for policy formulation and publication is undoubtedly determined by the state's basic judgement of cotton supply and demand.

Wang Qian said that three years of storage, resulting in a huge difference between the price of cotton and the cotton yarn is the main push for the influx of cotton yarn in the Chinese market.

Since 2014, due to the introduction of China's direct subsidy policy, there has been a sharp fluctuation in cotton prices both inside and outside the country. Overall, the difference between cotton prices and domestic and foreign cotton prices has been shrinking. The current hovering around 2500 yuan / so is still higher than normal level, imported yarn.

Although the growth rate slowed down obviously, it still maintained the price advantage of 1000 yuan per ton of cotton yarn at the same level in China.

And the more we go to the lower branch, the more we import.

The more obvious the price advantage is, the more pressure the domestic cotton yarn will survive.