Australian Cotton Imports Rose In June

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It is worth noting that in June, Australia's cotton imports rose to 3162 tons (rising to the fourth place of China's cotton importing countries). Although the month on month growth rate was still - 34.62%, the year-on-year growth was 634.64%; In May 2021, China only imported 430 tons of Australian cotton, with year-on-year and month on month increases of - 90.91% and - 95.91% respectively. Within one month, the attention and import volume of Australian cotton have changed dramatically.

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According to the feedback from cotton trading enterprises in Qingdao, Zhangjiagang and other places, as of the end of July, the number of Australian cotton cleared by China's main ports was very small (the cotton resources in 2019 / 20 were mostly m 1-5 / 32), and the majority of them were traders' processing and clearance, with 1-4 cabinets (1 cabinet accounted for a large proportion); The net weight quotation of SM 1-5 / 32 is concentrated at 18900-19200 yuan / ton. Due to the high quotation and the concern of textile enterprises about the large difference of cotton index caused by repeated purchase, it is not conducive to the stability of yarn quality. Therefore, although the quantity of Australian cotton for customs clearance is low, the shipment is also slow.

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According to the survey, cotton traders focus on selling Australian cotton in August / November, 2020 / 21, and the supply is very sufficient. Some large and medium-sized cotton mills have high enthusiasm for inquiry and purchase of Australian cotton in 2020 / 21.

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Industry analysis: on the one hand, the current August / November shipping period SM 1-5 / 32 Australian cotton basis difference of 14-15 cents / pound (M 1-5 / 32 basis difference of 12.5-13.5 cents / pound); However, in August / September, the basis of US cotton 21-337 / 38 reached 15.5-16.75 cents / pound, showing the performance price ratio of Australian cotton; On the other hand, the validity period of the cotton import quota of 700000 tons sliding standard tax in 2021 is December 31, 2021, and cannot be extended to the end of February 2022. Therefore, the only new cotton that textile enterprises can choose from August to November is Brazilian cotton and Australian cotton, which have strong advantages in quality, transportation and settlement; In addition, the epidemic situation in Southeast Asian countries is "pressing the gourd and starting the gourd again". In particular, the impact on the cotton mills of Vietnam, Indonesia, India and other countries is still continuing. Some middle and high-grade orders from Europe, the United States and Japan return to China. On the premise of good profits, cotton mills increase the proportion of Australian cotton blended with cotton, which improves the quality stability of gauze and fabric, It also avoids the bad effects of the US government's import ban on Xinjiang cotton products.