According to the requirements of the “National Grain and Material Reserve Administration Announcement of the Ministry of Finance of the People’s Republic of China (2020 No. 2)”, Xinjiang cotton in 2020 will be officially listed for trading on December 1. Are there any changes in Xinjiang’s cotton rotation trading rules this year compared to last year? China Cotton Network interviewed the person in charge of the relevant unit and interpreted the key points of the announcement and detailed rules. The main features are as follows:
Adjust quality requirements according to the rotation announcement
According to the requirements of this year’s Xinjiang cotton rotation announcement, this time’s rotation details have adjusted the quality indicators of cotton to be delivered for storage, stipulating cotton color, length, micronaire value, length uniformity and breaking strength. The compliance rate was no less than 80%, compared with 90% last year. At the same time, this year’s detailed rules also deleted all “exclusions” requirements from last year’s quality indicators.
Improve the details of the rotation to avoid ambiguity
Based on summarizing the experience of last year’s rotation, this year’s rotation details are based on the signing of the contract and the initial entry into the warehouse. Inspection, single package net weight, re-inspection application and other aspects are more perfect and rigorous. In the process of contract signing and preliminary inspection of storage: This year’s detailed rules stipulate that the delivery and storage enterprise must sign the contract within 5 working days from the day after the transaction is completed, and the cotton to be delivered for storage must be sent to the warehouse within 45 days from the day after the contract is signed. Go to the storage warehouse agreed in the contract and complete the initial inspection. The words “from the next day” are added compared to last year; the regulations on the net weight of a single package: this year’s description is the average net weight of a single package (production line weight) of each batch, which is different from Last year’s “net weight per package”. Regarding the shipment of unqualified cotton from the notarized inspection, the detailed rules clearly state that the delivery enterprise should process the shipment within 10 working days (inclusive) from the date of issuance of the “Unqualified Cotton Outbound Order”, and it will take more than 10 working days (exclusive) If the goods have not been shipped out of the warehouse, the delivery company must sign a custody contract with the storage warehouse, and obtain insurance in a timely manner to clarify responsibilities. In addition, the time for re-inspection application has been adjusted from 2 days to 5 days.
Clear contract breaches relieve corporate concerns
In response to quality breaches reported by some delivery companies, the relevant departments this year absorbed and adopted the First-line delivery companies made rationalization suggestions, adjusted the detailed rules, and further clarified the breach of contract regulations. What is different from last year is that if the delivery enterprise can prove that the results of the public inspection of the cotton delivered in the Xinjiang supervision warehouse meet the storage requirements, but the results of the public inspection of the cotton in the warehouse do not meet the storage requirements, it will not be counted as a breach of contract.
In order to ensure that the company fulfills the contract, the detailed rules stipulate that if the depository company defaults once (calculated according to the contract), trading will be suspended for one week on the basis of deducting the performance bond; if a second breach of contract occurs, the performance bond will be deducted. On the basis of suspension of trading for two weeks; in the event of a third breach of contract, the qualification for reserve cotton trading (including rotation in and rotation out) for this year will be directly canceled and the performance bond will be deducted.”
Further Standardize warehousing adjustment fee standards
In order to further standardize warehousing, this year’s detailed rules clearly stipulate that “the repackaging and finishing fees will be uniformly deducted from the quality guarantee deposit, and the storage warehouse will issue an invoice to the delivery enterprise, and the delivery enterprise No additional payment will be made. At the same time, this detailed rule adds a description of the complaint channels for storage companies. If it is found that the storage unit has problems such as arbitrary charging, the storage company can complain to the China Cotton Storage Company.
In addition, according to the actual market situation, this year’s rules have adjusted the relevant fee standards for entry and exit fees, cooperation with public inspection fees, removal fees, bale picking fees, and storage fees that exceed the prescribed delivery period for cotton that does not meet the storage period. .
Make reservations for warehousing to ensure smooth warehousing
In order to facilitate the storage warehouse, make arrangements for warehousing and coordinate the inspection agency to complete the notarization of warehousing. For inspection work, the delivery and storage enterprise should communicate with the storage warehouse before the cotton is shipped and log in to the “Reserve Cotton Wheel Self-Service Platform” through China Cotton Network or e-Cotton Warehouse to make an appointment for warehousing. If the delivery and storage enterprise fails to make an appointment, If the goods are transported to the warehouse within the time limit or directly transported to the warehouse without making an appointment, the warehouse has the right to refuse, and the relevant responsibilities and expenses shall be borne by the delivery and storage enterprise. “The delivery and storage enterprise has arrived at the warehouse directly without making an appointment three times in total or failed to arrive at the warehouse at the appointment time without reason. , suspend its trading for two weeks; if it arrives at the warehouse directly without making an appointment for a total of 6 times or fails to arrive at the warehouse at the scheduled time without reason, its qualifications for reserve cotton trading (including rotation in and out) for this year will be directly cancelled. Remind storage enterprises to strictly follow the instructions Standardize delivery and storage, and reasonably arrange warehousing plans to ensure smooth delivery and delivery.
The pilot enriched delivery and storage model makes delivery and warehousing more flexible
In order to facilitate the transfer of storage by enterprises, during this year’s rotation period, the China Cotton Storage Company will direct the transfer of storage from the China Cotton Storage Xinjiang storage warehouse to other storage warehouses according to the actual situation or a small number of pilot projects. Pay specific attention to the listing announcement. Interested companies can contact the relevant warehouses Contact us.
The above are some key points of the details of this year’s cotton rotation operation in Xinjiang. The delivery and storage enterprises are reminded to carefully read the “Implementation Rules for Rotation”, “Notary Inspection Implementation Rules” and “Bidding Transaction Detailed Rules” to reasonably arrange the rotation. into the plan to effectively control market risks, save costs, and improve delivery efficiency.</p
