How to return to the cotton industry?

The current domestic cotton textile enterprises lack of raw materials, make-up urgent, the country put into operation in a timely manner cotton reserves, to solve the pressing needs of textile enterprises. At the same time, a signal was also sent that the pressure on the State Reserve to increase and the temporary reserve policy that was forced to "normalize" needs to be further adjusted and perfected. The cotton industry should eventually be handed over to the market for digestion. The temporary cotton purchasing and storage policy started in 2011 was originally intended to stabilize the cotton price and production expectation and prevent cotton prices from falling after they affected the cotton farmers' interests and enthusiasm for production. This is the way to stabilize the entire cotton industry. However, in recent years, due to the temporary receipt and storage of cotton, the cotton industry has shown a special form: cotton can not be found on the market, 6.8 million tons of cotton have been stored and sold over 6.5 million tons, and brokers are almost unprofitable. The difference between domestic and foreign cotton is too large, the textile industry sad day, and vice versa also affected the source of the industrial chain, the cotton production link is not very optimistic. Under the pattern of too concentrated cotton flow, cotton regulation has been put on the high-profile platform: prices hurting enterprises at a low price, hurting agriculture prices at a low price, and increasing pressure on the government to control the market. The leading role the market can play becomes weaker. At present, the cotton industry needs sound, stable and sustainable development. The government needs to gradually unload its "burden" so that the cotton industry can return to the market steadily. How to return, the industry has put forward the proposal to cancel temporary storage. In the current context of the cotton market is still not optimistic, cancel the temporary storage and release the domestic market, a large influx of international low-cost cotton, cotton may face the dilemma of soybeans, the entire industry will be under attack. If cotton acreage shrinks dramatically, it will be hard to resume. Therefore, the complete abolition of temporary storage may have some risks. Paul source head to develop. Stable cotton production and the interests of farmers is the cotton industry chain, all aspects of hope we can see. If you rely solely on raising the store price to achieve this purpose, I am afraid that under the influence of the entire industry chain will bear greater pressure. Moreover, in recent years, the comparative benefits of cotton planting have been declining, the labor costs have risen rapidly, and the strength of temporary collection and storage has become very large. It is impossible to attract peasants by further raising the price. If we want to fundamentally protect cotton production and increase farmers' enthusiasm for cotton planting, we should also start with researching and popularizing new types of management entities such as mechanization and development cooperatives and infrastructure improvements, and if necessary, give cotton farmers direct subsidies and improve their planting Cotton benefit, so the problem of production links will be solved. Once the source of the problem has been solved, the cotton price control space increases, we can flexibly use the storage and delivery of the price leverage to reduce the impact of domestic and foreign cotton spread on the textile industry. In addition, the textile enterprises to get out of the predicament can not rely solely on state regulation and control policies. The reasons for the current difficulties in textile enterprises are many. These include the slowdown in the growth of domestic demand, the excess of textile capacity, the difficulty of financing and the pressure of international competition. Textile enterprises to seek a breakthrough, we should strive to improve technology, eliminate backward production capacity, improve product quality, regulatory policies can only try to create a relaxed environment for enterprises to join the market competition, or to rely on their own to enhance their strength. As a macro-control policy, temporary receipts and deposits have played a certain protective role in China's cotton industry in a special stage. However, regulatory policies are not omnipotent and require the cotton industry to return to the market steadily. In this process of return, in addition to further improving the macro-control policy, every step involved in the industry and its main body needs to be properly prepared.

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