Monthly Report: Domestic Cotton Prices Rose First and then Fell, Cotton Imports Increased year-on-year (May. 2021)

Monthly Report: Domestic Cotton Prices Rose First and then Fell, Cotton Imports Increased year-on-year (May. 2021)

In May, the domestic textile orders were sufficient, raw material demand was stable, and commercial stock continued to decline. Relevant domestic departments strictly controlled the rise in commodity prices, and domestic cotton prices rose first and then fell. According to a survey conducted by the CCA, the national cotton planting area in 2021 decreased by 5.66% year-on-year, and the rate of decline was larger than that of the previous period. The main reason was that Xinjiang was affected by adverse weather and some cotton farmers switched to other crops. At the end of the month, the national cotton planting was basically completed, and the progress was faster than last year. The CCA estimates that cotton imports in 2020/21 will be 3 million tons, an increase of 87% year-on-year, an increase of 650,000 tons from the previous period, the ending stock will be adjusted to 8.7 million tons, an increase of 10% year-on-year, an increase of 650,000 compared with the previous period Tons, consumption was 8.1 million tons, an increase of 5.9% year-on-year, production was 5.92 million tons, a slight increase from the same level.

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