Monthly Report: Textile Demand is Strong, Cotton Prices Continue to Rise (Jan. 2021)

Monthly Report: Textile Demand is Strong, Cotton Prices Continue to Rise (Jan. 2021)

In January, the textile market had sufficient orders and smooth sales. Enterprises were actively purchasing raw materials. The enthusiasm for replenishment was high. The demand for cotton was strong and prices continued to rise. National cotton sales are coming to an end, processing progress has slowed down, and commercial inventories have fallen for the first time in the year. International cotton prices fluctuated upwards, but affected by the news that the United States banned the import of Xinjiang cotton, the increase was lower than that in China. The price difference between domestic and foreign cotton was still higher than 800 yuan/ton, and the cotton reserve cycle had not started. The CCA predicts that the cotton consumption in 2020/21 will be 8.1 million tons, an increase of 5.9% year-on-year, an increase of 110,000 tons from the previous period, the import will be 2.35 million tons, an increase of 46.9% year-on-year, an increase of 370,000 tons from the previous period, the ending stock Approximately 8.05 million tons, a year-on-year increase of 1.8%, an increase of 260,000 tons from the previous period, production was 5.92 million tons, a slight increase from the same period last year, and no adjustments have been made in this period.

China Cotton Supply and Demand Balance Sheet (Feb. 2021)      Million tons