Why Does The Import Cotton Yarn Trade "Turn Around The Hump"?

According to the feedback of cotton yarn trading enterprises and weaving factories in Foshan, Jiangsu and Zhejiang provinces, since December, the quotations of cotton yarns from Vietnam, India and Pakistan have not only echoed each other's prices, but also, in addition to the "warm water" market of rotor spinning, the inquiry and transaction of C40 and below ring spinning and 8s-16s siro spinning are much more active than those in November; Some traders pay more attention to the cotton yarn of Pakistan and India in February / March shipping period, and their enthusiasm for signing contracts for purchasing cotton yarn has further rebounded.

A large cotton yarn importer in Guangdong said that at present, the inventory of imported high-quality package bleached c32s, c40s yarn and Pakistan siro spinning yarn in the light textile market is on the low side, and the supply is a little tight. After receiving the actual order, the middlemen should pay close attention to purchase and transfer goods from Jiangsu, Zhejiang, Shandong, Qingdao and other places; Although the price of cotton yarn for customs clearance is increased by 200-300 yuan / ton compared with that in the last ten days of November, it is difficult to follow up the actual transaction price. The price of general regular customers and orders with large purchase volume increases by 100-150 yuan / ton. According to the survey, the number of foreign cotton delivered to Hong Kong and put into the bonded warehouse in November has a relatively large growth compared with that in October (some traders and cloth factories judge that the month on month increase will reach 15% - 20%), but due to some improvement in transaction and shipment, the growth of cotton yarn inventory is not prominent.

The increase in the current transaction price of imported cotton yarn is mainly driven by the following four factors:

First, with the main contract of Zheng cotton of 14500-14600 yuan / ton and the rise of cotton yarn futures, the domestic cotton yarn set off a round of supplementary price rise, and the imported yarn followed up in a hurry; Second, affected by the new crown epidemic, the sharp rise in sea freight and the tight port containers, the shipment and shipment of imported cotton yarn in November were greatly restricted, and some cotton yarn contracts were passively delayed, which impacted the arrival volume of foreign yarn in December / January; Third, the rise of ice oscillation, India's domestic cotton spot price continued to rebound, plus the favorable vaccine, the United States fiscal stimulus or ushered in "real hammer", the voice of cotton mills and export enterprises in India, Pakistan, Vietnam and other countries gradually increased; fourth, the sharp appreciation of RMB stimulated cotton yarn import; Fifthly, some export-oriented enterprises and OEM factories increase the inquiry and purchase of imported yarn in order to avoid the risk of the United States setting restrictions on China's New Territories cotton.