Domestic shipments of imported yarn still fall rapidly

On January 13, the port traders reported that the recent arrival of imported yarns in China has continued to decline, but the price is in a dilemma. At present, the total yarn volume outside the port is around 5.0 million tons, which is a further decrease of 0.5 million tons compared with half a month ago, mainly concentrated in several ports such as Guangzhou, Shanghai, Qingdao, Zhangjiagang and Ningbo.

The number of imported yarns in Guangzhou Port was approximately 12,000 tons, which was approximately 0.2 million tons less than half a month ago. The main source countries and regions are India, Indonesia, Pakistan, and China Taiwan.

The number of imported yarns in Shanghai Port was approximately 11,000 tons, which was approximately 10,000 tons less than half a month ago. The main source countries are India, Pakistan and the United States.

Qingdao Port imported about 10,000 tons of yarn, which is about 0.1 million tons less than half a month ago. The main source countries are India and Pakistan.

Zhangjiagang imported about 9,000 tons of yarn, which is about 10,000 tons less than half a month ago. The main source countries are India, Pakistan, Indonesia, and Uzbekistan.

The number of imported yarns in Ningbo Port was about 0.8 million tons, which was not changed much from the previous half month. The main source countries are India, Pakistan and other places.

The number of printed yarns has decreased recently, while the supply of pallet yarn has increased slightly, because of its low cost and good quality, and traders are entering and exiting quickly. It is expected that the arrival volume of imported yarn will continue to decrease before the Spring Festival. Traders report that as of the 13th, the price of imported card ring spinning 21s is between 18400 and 19500 yuan/ton, and the difference between domestic yarn prices is above 1000 yuan/ton. Apply pressure to domestic yarn.

On the whole, due to the oversupply of the fundamentals of the cotton market in the world, the decline in the cotton prices in the international market should not be quickly transformed, while the domestic cotton price has experienced a sharp decline in 2014 and the cotton price in the international market. The spread has been reduced a lot, but the price advantage of imported cotton is still in place, and its pressure on domestic cotton prices will not be eliminated for the time being.

Excess supply of fundamentals caused weak cotton prices. Judging from the cotton market supply and demand situation, the 2014/2015 global cotton supply and demand will be in surplus for the fifth consecutive year. Supply exceeding demand will cause cotton prices to remain in a weak market.

According to the latest data released by the US Department of Agriculture's (USDA) monthly supply and demand report, global cotton production in 2014/2015 is forecast to reach 25.946 million tons, up 41,000 tons from the previous month, and the total global consumption is 24.437 million tons. Compared with the previous month, it has cut 79,000 tons, and the excess supply will be 1.51 million tons. The ending stocks will increase to 23.653 million tons, and the inventory consumption ratio is expected to be 96.8%.

Domestically, due to the impact of acreage reduction, the domestic cotton in the new year will basically be in a state of balance between supply and demand, but the huge inventory is a stress factor that cannot be ignored in the domestic cotton market. According to the US Department of Agriculture's monthly report, the inventory of Chinese cotton in the new year is expected to be 13.75 million tons. More than half of the world's stocks are in China, and China's stock consumption ratio in 2014/2015 is as high as 172.8%.