Review of the development of the cotton spinning industry in 2016 and outlook for 2017

At the beginning of the new year, everything took on a new look and new hopes were placed on it. As the new year approaches, Ye Jianchun, vice president of China Cotton Textile Industry Association, introduced the industry development, industry hot issues and key tasks in 2017 in the past year. TAweekly: What are the notable characteristics of the development of the cotton textile industry in 2016? 　　 Ye Jianchun: The cotton textile industry as a whole maintained a stable operation in 2016. Although the fluctuation of cotton raw materials has an adverse effect on the development of the industry, from the market situation, the company's ability to respond is strengthening In the survey, companies generally report that the benefits are better than in 2015.　　A notable feature of the development of the industry is that large-scale enterprises have achieved good returns, while small and medium-sized enterprises with single products and weak market response have many difficulties, and there are more closures. Industry development is concentrating on dominant large enterprises. TAweekly: Out of various considerations, textile companies have turned their attention to foreign countries. What new trends have cotton textile companies 'goed out' in this year? 　　 Ye Jianchun: Judging from the current situation, the pace of cotton textile companies' 'going out' is gradually slowing down With the suspension of TPP, the motivation of cotton spinning enterprises to 'go global' is also weakening. At present, some companies are setting their sights on Africa and Central America, but it will not become a trend yet. Africa is a hot topic for people to talk about. It has advantages in electricity and labor costs, but cotton spinning companies must also consider cotton resources. African cotton planting technology is backward and production is not high, so companies will not blindly 'go out'.　　TAweekly: What is the industry development situation in 2017? 　　 Ye Jianchun: On the whole, the cotton textile industry will maintain stable development in 2017, but there are still many uncertainties. First of all, the macro economy will not improve significantly; secondly, the devaluation of the renminbi is conducive to cotton exports, but it remains to be seen whether the new US president’s textile trade policy changes after he takes office. Judging from the current situation, Japan and the United States may have tariffs and tariffs against China. Technology and other restrictive measures have been introduced, so the export situation is not optimistic.　　TAweekly: What is the cotton situation in the new year? 　　 Ye Jianchun: From the perspective of the domestic planting area, due to the guidance of the state subsidy policy, the enthusiasm for planting cotton in the mainland will be affected. There will be less and less cotton in the mainland, and cotton in Xinjiang is relatively stable. The country has announced its plan to dump reserves for the new year, and the dumped reserves should be the same as last year. However, companies are more concerned about the quality of cotton. Most of the cotton dumped this year should be purchased and stored in 2014. The phenomenon of mixed grades is serious. Whether the detected cotton can meet the needs of cotton spinning enterprises is still not conclusive. There are many quality problems, and the daily dumping of reserves cannot meet the demand, and the market will fluctuate. In order to cope with the impact of dumping, the China Cotton Textile Industry Association will listen to the demands of enterprises in a timely manner, report to relevant state departments, guide the market, and ensure the needs of enterprises for cotton use. TAweekly: In recent years, Xinjiang has been a hot spot for investment in cotton textile enterprises. What opportunities are there in the future? 　　 Ye Jianchun: From the perspective of Xinjiang’s policies, preferential policies for investment in cotton textile enterprises have been introduced. The next step will focus on downstream policies. Fabrics, clothing and other fields. The ultimate goal of various policies is to solve the employment problem in Xinjiang. At present, all cotton spinning enterprises invest in advanced spinning equipment, and clothing can relatively solve more employment problems.　　TAweekly: Cotton yarn futures will be listed in the first half of this year. What does this mean for companies? 　　 Ye Jianchun: The listing of cotton yarn futures is good for spinning companies, and this is also an important manifestation of marketization. With the shrinking of the price difference between internal and external cotton, the imports of cotton yarn from India and Pakistan are also decreasing. This year, Xinjiang cotton yarn will make up for the shortage of imported yarn. The futures market is not only affected by the domestic market, but also related to imported yarn.　　 Cotton yarn futures are conducive to the hedging of spinning enterprises, especially for small and medium-sized enterprises, and can play a role in protecting yarn prices. But futures is a financial product, and there will be market hype. Therefore, companies will have a gradual process of understanding and must be cautious to operate and make good use of this platform. In general, cotton yarn has a high degree of marketization and is less subject to policy intervention, and its future trend will be more active. TAweekly: Which aspects of the work of the China National Cotton Association in the new year? 　　 Ye Jianchun: For enterprises, the most concern is cotton raw materials. For this reason, the Association will focus on the situation of cotton dumping and storage, and hold analysis meetings in a timely manner. The state reflects the demands of enterprises. In addition, the association will also guide enterprises to adjust and upgrade in terms of upgrading the cotton textile industry, improving the level of intelligence, and implementing the 'three-product' strategy. Article Keywords: 　 Ye Jian Chun Cotton Spinning