China'S General Administration Of Customs Continues To Improve Cotton Import Data

 

According to the statistics of the General Administration of customs, in April 2022, China's cotton import volume was 173 000 tons, a year-on-year decrease of 24.5%. Among them, the United States cotton import volume not only ranked first, but also far ahead of other countries, accounting for 77% (increased by 6% compared with March); Brazil cotton ranked second, accounting for only 14%; Egypt and Burkinabe ranked second, accounting for 2%; India's cotton imports accounted for only 1% of the total, which was comparable to that of Australia. The import volume of Brazilian cotton and Indian cotton continued to decline compared with previous months.

As for the reasons for the weakness of Indian cotton import in 2020 / 21 and 2021 / 22, most cotton enterprises believe that on the one hand, India's s S-6 and other spot and McX futures in April / may not only set a new record, but also consolidate at a high level. Buyers including China, Vietnam and Bangladesh had to alienate Indian cotton, Moreover, because of the fear that the Indian government may restrict or even prohibit the export of cotton, Indian cotton processing enterprises and exporters are more cautious about signing spot and shipping contracts; On the other hand, at present, India's cotton in the bonded warehouse is dominated by CCI rotation resources in 2019 / 20 and 2020 / 21 (the new cotton inventory in 2021 / 22 is low, and the buyer has little room to choose), the degradation is relatively prominent, and the spinnability and consistency are insufficient. However, the cotton export enterprises and traders only accept the original bill settlement (do not agree to re inspection), and the acceptance of textile enterprises and middlemen is relatively low.

Since April, US cotton imports have accounted for more than 70% of the total

First, from February to March 2022, the pressure on ports such as long beach and Los Angeles will gradually ease. In 2021 / 22, U.S. cotton shipment will continue and the contract will resume;

Secondly, the lowest price of ice cotton futures contracts was close to 130 cents / pound in April, which not only triggered a large number of on-call point price contracts, but also the enthusiasm of cotton textile enterprises and middlemen to enter the market at low prices;

Third, the RMB appreciated sharply in the first and middle of April, stimulating domestic textile enterprises and traders to sign contracts with American cotton.