The cotton market downturn of the new cotton this would have an adverse impact on

Dezhou City is China’s major cotton-producing regions, 270 million mu in 2007 Cotton Planting, total output of 245,000 tons of lint. Last year, the cotton price fluctuations larger Zimian per kg from 6.10 yuan to 7.10 yuan from an average 6.50 yuan from top to bottom, the acquisition costs of conversion of 13,400 yuan per ton around.

Since last September, most taken with the acquisition of cotton enterprises, with the processing, with the sales strategies, nearly half of sales before the Spring Festival, only 200-300 yuan per ton of profits. After the Spring Festival, lint prices from 13,700 yuan / ton by the end of May to gradually increase of 14,100 yuan. From June onwards, the textile industry downturn, cotton and reduce the impact on loan, the cotton market periodically excess of supply and demand, cotton enterprises Chenbuzhuqi have to sell cotton, cotton prices have caused a sharp drop.