Cotton Prices After "High Fever" Or Triggered Prices Surging Tide

Obviously, China's large cotton traders have found golden opportunities for making money in the recent round of "high fever" of agricultural products. As cotton yarn and cotton prices continue to rise, businesses bought cotton hoarding at lower prices a few months ago, and can get a lot of benefits no matter whether they are processed or sold in a few months.

At the same time, the price of raw materials is constantly being pmitted to downstream industries such as weaving, printing and dyeing, clothing and so on, and the profits of related enterprises are gradually being "swallowed up".

Big business hoarding cotton speculation

A large cotton textile enterprise in Zhejiang has recently revealed that cotton yarn is of great importance.

The above cotton textile business people revealed that this year, the sales profit of 32 cotton yarn is generally 5000 to 6000 yuan / ton, which is considered by the industry to be the highest level in 10 years.

And in 2009, the sales profit of cotton yarn was only 500 - 1000 yuan / ton, and the company only maintained its profit.

Quite a few of these gains have come from hoarding.

Under the stimulation of high returns, cotton textile enterprises have also reached a record high level this year.

A person who did business consulting for several cotton textile enterprises told reporters that the large scale

In fact, since last year's selling of cotton reserves, the operation techniques of some large state-owned textile enterprises in Shandong have been controversial.

The above-mentioned consultants said that such large enterprises pushed prices up in the auction of cotton reserves, thereby affecting the spot price of the market, and then converting the cotton that had been purchased at a low price earlier.

The ongoing 600 thousand tons of cotton reserve auction, the paction price is basically 18200 to 18300 yuan / ton, far higher than the government set the auction price of 16500 yuan / ton.

"In recent years, large cotton producers have basically taken away all the funds previously invested in real estate and used them for cotton speculation."

The above said that although the industry decided to take part in the cotton speculation or the capital in the industry, there were also some hot money in Zhejiang and other places through some consulting investment companies to gain profits.

At the beginning of this year, the Zhejiang chamber of Commerce in Xinjiang, Zhejiang, estimated at least 10 billion of Zhejiang's private capital to evacuate Shanxi coal mines and domestic real estate to the Xinjiang cotton market.