2018 China state cotton auction has ended on Sep 30. The daily selling volumes put on auction maintained at 30kt and total selling volumes approached 2.514 million tons, including 1.561 million tons of Xinjiang cototn, with trading proportion of 58.3%. Trading prices were averaged at 14,732yuan/mt. After this round of auction, the remnant stocks of reserved cotton in the state warehouses are estimated at about 2.75 million tons. Cotton prices experienced sharp fluctuations in May, and since June, only textile mills were allowed to take part in the auction, and China announced to allocate additional sliding-scale duty quotas. In end July, the state cotton auction was prolonged from Aug to Sep. Chinese yuan weakened apparently during the period and there were several rounds of trade dispute between U.S. and China, dampening the consumption in general.
By Sep 30, 2.514 million tons of reserved cotton have been totally sold during the 2018 state cotton auction, with trading proportion of 58.3%. Trading prices were averaged at 14,732yuan/mt, and after the auction, about 2.75 million tons of reserved cotton are estimated to be left in the state warehouses. From June 4, only textile mills were allowed to take part in the auction and the reserved cotton could not be resold, so as traders were not allowed to participant, trading prices were under control. The trading proportion was closely related with the selling volumes of reserved Xinjiang cotton, to have positive correlation.
If the state cotton auction continues during Mar and Sep 2019, based on the average trading volumes of 2.80 million tons during 2016-2018, there will be no reserved cotton in the state warehouses after 2019 state cotton auction, if there is no state cotton reserves.
Big events during 2018 China state cotton auction and statistics analysis
- Several Australian brands switch to B... — Several Australian brands have switched to sustainable cotton sourcing and are keen to learn about where their raw materials are grown, said Michael Kobori from Levi Strauss & Co at a Better Cotton Initiative (BCI) Forum. Over 100 brands, retailers, NGOs, cotton scientists and farmers came together to learn about Australia’s sustainable cotton industry. “Australia plays a crucial [...]
- Ημερήσια νέα Βαμβακιού 23/05/2019 — Cotton futures rise following strong export sales, softer dollar Το χρηματιστήριο βάμβακος έκλεισε με άνοδο την Πέμπτη καθώς οι πολύ καλές νέες εβδομαδιαίες πωλήσεις βαμβακιού στις ΗΠΑ έδειξαν ότι υπάρχει ζήτηση για το βαμβάκι, παρά το εμπορικό πόλεμο και την άνοδο του δολαρίου. ICE Futures May 23, 2019: Cotton Futures EUR/US$ 1.1139 DTN Cotton Close: Finishes [...]
- U.S. Cotton Grateful for Additional T... — The National Cotton Council (NCC) has expressed appreciation to the Trump Administration for instituting a second round of trade mitigation payments for U.S. farmers. NCC Chairman Mike Tate said this round of assistance – like the first one initiated in 2018 – will help partially mitigate the impacts of retaliatory tariffs being placed on U.S. [...]
- India to regain top cotton producer s... — India is expected to regain the top-producer status in 2019-20 season, surpassing China, which became the leading cotton producer in 2018-19, according to the US department of agriculture (USDA). India’s cotton production during the season is forecast to increase by 3-million-bales to 28.5 million bales, while China is likely to produce 27.75 million bales. “For 2019-20, India’s [...]
- Togo cotton output up 17% in 2018/19 — LOME, May 23 (Reuters) – Togo’s cotton production in the 2018/19 season increased by 17% to 137,000 tonnes, the government said on Thursday, but fell short of its original target of 140,000 tonnes. Some 180,000 hectares were cultivated, up from 168,000 in 2017/18, said Nana Nanfame, director of the national agency overseeing the sector. Farmers [...]