The Cotton Market Has Gradually Entered The Stage Of Stabilization.

There were rumors in the market in 2013 that in 2014, the state would no longer carry out the temporary cotton purchase and storage policy instead of the cotton direct subsidy policy in the industry.

At the beginning of 2014, the industry generally believed that the direct subsidy policy had become a finalized fact, waiting for only the clear rules.

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The temporary purchase and storage policy has been implemented for 3 years. During the implementation period, the domestic cotton price and the outer cotton have formed a price difference of five thousand or six thousand yuan between inside and outside cotton, coupled with insufficient domestic and foreign market demand.

The competitiveness of enterprises has dropped sharply and the pressure of survival is enormous.

The cotton direct subsidy policy, which will soon be introduced, represents the most sincere voice of the cotton textile industry. Enterprises believe that only cotton direct subsidy policy can solve the cotton problem of domestic cotton textile enterprises.

Research Report on cotton bathing industry in China for 2015-2020 years

In January 2015, 2015-2020 years, the research and analysis of China's bathing hat Market and the development advisory report, 2015-2020 years' research and analysis of China's feather Market and the development advisory report, 2015-2020 years, the survey and analysis of China's down products market and the development advisory report 123, which is another problem in the cotton textile industry when the industry is looking forward to the introduction of the cotton direct subsidy rules as soon as possible. The "high and low deductions" usher in "ice breaking". Anhui province put the lint and cotton yarn into the pilot scale of the approved value-added tax input tax for agricultural products, and became the first province in the country to break the policy of "high taxes and low deductions".

After the news came out, Hebei, Henan, Zhejiang, Hunan, Shandong, Shaanxi, Jiangxi and Jiangsu also started the reform of "high levy and low deduction". In a year, the reform took almost all the key provinces of cotton textile in China with a spark of fire, and brought a warm feeling to the cotton textile industry in the "severe winter", which provided a relatively relaxed development environment for the difficult cotton textile enterprises.

At the same time that the good news of "high and low deduction" is coming out,

The implementation plan of the target price reform pilot project was finally published in the eagerly anticipation of the industry, launched the pilot project of cotton target price subsidy in Xinjiang, and subsidized the price according to the target price. China's Cotton Subsidy Policy was officially changed from "covert subsidy" to "direct subsidy cotton farmers", marking the beginning of the marketization reform of cotton policy in China.

Subsequently, the Cotton Subsidy Rules of the 9 provinces in the mainland are clear.

Since then, the cotton new deal pattern, which is mainly supplemented by "Xinjiang and inland cotton farmers", has been formally formed as a supplement to the cotton processing qualification recognition system and the warehousing and public inspection system.

After the news of the implementation of cotton direct subsidy policy came out, people in the industry predicted that domestic cotton prices would drop sharply.

Foreign cotton prices also began to fall due to insufficient demand in China, and domestic and foreign cotton prices were in line with the price differentials.

It is gratifying to note that since the implementation of the new cotton subsidy policy, the market price formation mechanism based on market supply and demand in China's cotton field has shown its effectiveness.

Whether cotton farmers sell seed cotton, processing plants purchase seed cotton, or textile enterprises purchase lint, the more or only consideration is the market demand. In the process of forming the price mechanism, whether it is cotton enterprises, spinning enterprises or cotton farmers, all need to undergo a painful process.

This is a stage that must be experienced in China's cotton policy reform. It is also a baptism that cotton textile enterprises must accept in the market reform of cotton.

By the end of 2014, the cotton market had gradually entered the stage of stabilization, and the textile enterprises still failed to get out of the shadow of the fall in cotton prices.

However, with the continuous emergence of the policy effect and the continuous adjustment and improvement of the cotton policy, I believe that in the coming 2015, the cotton textile industry will usher in a more favorable development environment.