Before Planting, China Announced Cotton Reserve Plan To Encourage Cotton Farmers To Plant.

2011/4/3 16:18:00 50

Worry about cotton farmers before planting

Cotton price

China may announce that it plans to rebuild this year when it is likely to plummet from a historic high.

cotton

Reserve to encourage domestic cotton production.

The announcement of the temporary purchase and storage decision coincided with the fact that farmers all over China began to sow cotton or decide whether to plant cotton or replace other crops.

China is the biggest cotton producer in the world, but it is strong in China.

Spin

The industry has also made China the largest cotton importer and importer.

Demand for China's textile mills is the main driver of New York's cotton price rise this month. Cotton prices in New York rose to a record $2.27 a pound this month, up 175% from last year.

China's national development and Reform Commission (NDRC) said it would buy cotton as a "temporary" reserve from September 1, 2011 to March 31, 2012, that is, the 2011 cotton sale period. The minimum storage price will be 19 thousand and 800 yuan per ton.

This is equivalent to about 1.40 US dollars per pound, slightly higher than the benchmark cotton price delivered in December in New York.

China Cotton Association estimates that this year's total cotton planting area will reach 5 million 640 thousand hectares, up 9.8% over the same period last year.

Before the start of the national cotton purchase and storage price starting point is about 12 thousand and 600 yuan per ton.

The new price level means that China intends to maintain at least one cotton season at home to encourage cotton production.