Imported cotton inquiry gradually increased

Some foreign companies stated that since the ICE Cotton ** December contract fell to about 70 cents/lb, the enthusiasm of the Chinese domestic cotton companies and traders has gradually recovered, with low-grade, short-length, or high-value US cotton. The transactions of Indian Cotton, Central Asia Cotton and West Africa Cotton showed a certain degree of recovery. Some traders stated that foreign cotton below 80 cents/pound or even 82 cents/pound can also take 40% of the full tariff even if it does not receive quotas in 2013 (1% tariff quota and sliding tariff import quota). In the case of import, the risk of imported companies is relatively controllable under the condition that the clearance price for SM-grade cotton is lower than 18,000 yuan/ton (net weight settlement). It is understood that since October, the proportion of 40% customs clearance of imported cotton in China's main ports has not been a minority, and some large-scale trading companies have also paid the full amount of bonded cotton with prices below 83 cents/lb or even 85 cents/lb. Customs clearance, on the one hand, net settlement and full customs clearance, domestic and foreign cotton still have a spread of 300-500 yuan per ton; on the other hand, some importing companies are under heavy financial pressure and need to purchase customs clearance and timely recovery of funds. Therefore, even if the loss is to be shipped.

It is reported that at the ICA meeting in Hong Kong, most of the participating consumer companies and cotton suppliers agreed that the global cotton market in 2013 will remain in a weak and volatile market, while the import quotas in the Chinese market are strictly controlled and the Chinese government is unlimited and large. The scope of storage and storage aggravated the pressure on the cotton price to bottom out in 2013. Some foreign companies estimate that in 2013, China’s import quota will be less than 2 million tons, which is composed of 894,000 tons of in-tariff quotas and 1 million tons of processing trade quotas, leaving space for imported companies and traders to operate. As a result, each time the ICE face fell below 70 cents, outside the cotton offer below 82 cents/lb or even 80 cents/lb is an opportunity for foreign traders and traders to buy and sell. Some traders stated that although the customs of the ports “sometimes allow imports, sometimes restrictions,” the overall control does not clearly control the payment of full tariffs on imported cotton, but once this trend expands in 2013, customs or relevant departments are likely to be introduced. Limitations.

A Singaporean cotton trader said that since November, most of the short-term, large-value (or small) US cotton offer was below 80 cents/lb. Domestic cotton companies and traders were very concerned and signing was more positive than in October. However, due to the high price of Australian cotton and high-grade US cotton in the bonded area, the full cost of tax clearance is too high, and there are no signs of warming in the inquiry and signing.