Weekly Report:Some Inland Cotton Subsidy Implementation Plans Announces, Sending Positive Signals to Market

Currently, the third and fourth times of cotton target subsidy were allocated in Xinjiang, some farmers had received their subsidy already. The inland nine provinces granted with cotton target price subsidy from central finance, five of them, namely Shandong, Henan, Anhui, Gansu and Jiangxi have announced their implementation plans, all of which would allocate the subsidy according to actual planting acreage and unit subsidy by mu (1/15 hectare). In Shandong, every mu of cotton planted will receive RMB 235 via the exclusive grain risk fund bank account of farmers following the grain subsidy procedure. In the other four provinces, the implementing plan will be made by county government. The implementing plan in Hubei, Hunan, Henan and Jiangsu has yet to come.
After the lantern Festival (5th March), domestic mill workers came back and operation restored. More market activity of raw material purchase, price inquiry, good inspecting and delivery were much more witnessed. Last week (2-6 March), domestic 3128B settled at 13,478 Yuan/ton, 29 Yuan up over the week. As the Xinjiang cotton target price subsidy was delivering, cotton growers started to prepare for the new season planting.