According to feedback from cotton traders in Qingdao, Zhangjiagang, Shanghai and other places, affected by the rising prices of ICE and Zheng cotton and the continued hot spot inquiries and transactions of foreign cotton, in addition to the Australian cotton basis spread remaining relatively stable in recent days, The basis difference of ship cargo, bonded and customs clearance US cotton/Brazilian cotton/Urban cotton/West African cotton, etc. have all increased to varying degrees. Some foreign merchants and import trading companies are reluctant to sell and close the market without quoting. The cotton price is bullish. The atmosphere is still on the rise.
A large cotton company in Henan said that since early October, the number of cotton textile companies visiting and picking up goods in bonded areas in Qingdao, Zhangjiagang, Zhengzhou and other places has increased significantly compared with August/September. In addition to Brazilian cotton and American cotton, In addition to the relatively active sales of Indian cotton and Indian cotton, the “extremely high” Australian cotton transactions in 2019 and 2020 have also bottomed out. First, the basis difference of SM 1-5/32 and SM 1-3/16 Australian cotton has stabilized at 2000-2200 yuan/ton (CF2101 + basis), which has not been raised along with cotton from other origins. The basis gap with US cotton 21-2 37/38 (or 31-3 37/38) has narrowed to 400-500 yuan/ton. , the competitiveness of Australian cotton continues to recover; secondly, in order to speed up the sales of old cotton in 2019, a few large cotton companies have launched some special price cotton, which is highly attractive to companies spinning medium and high-count yarns. For example, from October 15th to 16th, the lowest “fixed price” of SM 1-5/32 with low inventory (2-5 containers) and slightly poor consistency of a large import company was only 15,400-15,500 yuan/ton; third, in September Since mid-to-late 2020, some high-end European and American textile and clothing orders have returned and the RMB has appreciated sharply against the US dollar. This is also an important reason for the “recovery of Australian cotton sales”; fourth, some spinning companies with medium and high count yarns and export-oriented textile companies are optimistic about 2020/21. Concerns about the sharp decline in annual U.S. cotton quality and production decline continue to rise, and there are plans to lock in some high-quality cotton resources in advance.
According to statistics, Australia’s cotton output in 2020 is only about 600,000 bales, and of the 373,700 bales that have been exported this year, Chinese purchases account for more than 90%; an international cotton merchant predicts that with the Recently, inquiries and transactions of Australian cotton in 2019 and 2020 have rebounded on a large scale. Traders are finally “holding the clouds and seeing the moonlight”, and the sales progress will be significantly accelerated. In 2020, the total volume of Australian cotton signed by China to import may exceed 600,000 bales. , almost monopolizing the entire Australian cotton export market.
Some mainland textile companies and middlemen said that in recent days, the high-quality, high-spinnability Brazilian cotton resources in customs clearance in 2019 and 2020 have suddenly “disappeared”, and there are few RMB quotes; length 1-1/ 8 and below, strong 28 GPT and below account for a relatively high proportion. Considering that the Brazilian cotton output remains high this year and the enthusiasm for export and shipment to China is high, the spot and spot RMB quotations of Brazilian cotton have been significantly reduced or it is hunger marketing by traders. Or hold positions and sell prices. </p
