Imports Of Cotton Goods, "Price Is King" Will Again Encounter Storage Capacity In June.

Due to the slow recovery of domestic downstream consumption and the fact that the price advantage of imported cotton is not obvious, the speed of domestic cotton imports has slowed down recently. With cotton coming to Hong Kong one after another, the overall inventory is high.

Judging from the quantity of inventory, according to the statistics of the network, the total import cotton inventory in China is currently 55-60 tons. From the perspective of regional distribution, Qingdao and Zhangjiagang account for more than 80% of the total stock, which is about 350 thousand tons and 100 thousand tons respectively. Other areas are scattered in stock, including Tianjin, Henan, Hubei and Anhui.

From the point of view of inventory structure, cotton and Brazil cotton still occupy the absolute main position, accounting for more than half of the total inventory. Other stocks including India cotton, Central Asia cotton, Australia cotton and West Africa cotton are also larger, and a small amount of Mexico cotton and Greek cotton are also included.

Judging from the situation of goods taking, recently imported cotton was mainly traded at low price and low price, but the overall delivery was slow. First, the recovery period of traditional Chinese textile is also in the off-season, and downstream demand recovery is slow. According to the recent research results of the website, although the order of textile mills is better than that during the epidemic period, there are fewer large orders and more squeezed profit margins. And with the advent of the traditional textile off-season in 6-8 months, textile mills generally say that the order situation in June is less than that in May, and it is difficult to improve significantly in September. Two, the advantage of imported cotton is no longer. Recent international cotton prices continue to rise, superimposed on the early Yuan exchange rate has repeatedly depreciated. At the end of 5, the US dollar against the RMB Offshore exchange rate was once dropped through the 7.19 pass, the 1% tariff inside and outside the price gap is in the hang up state.

From the perspective of market demand feedback, whether domestic cotton or imported cotton, the recent low price is a magic weapon for sale. Because of the slow recovery of export orders, the middle and low count yarn is relatively better than the high count yarn. For enterprises, as long as quality indicators meet production needs, price is the focus of attention. Therefore, the recent quality indicators slightly worse, but the relatively low price of India cotton and Brazil cotton are better, and some of the lower ranking cotton also have a deal.

Based on the comprehensive consideration of factors such as the trend of cotton imports in different producing areas, the signing of traders, the time to market cotton and the shipping time, it is estimated that the import volume will be 9-10 tons in May. In the case of relatively small volume of imports and the export of Renminbi resources, the import of cotton stocks decreased slightly by the end of May. However, as the number of US cotton and new year's cotton and cotton will arrive in Hong Kong in June, the tension of storage capacity is expected to further intensify.