China Decides To Issue Temporary Quotas For Cotton Imports

"P," sources said on Friday that China decided to temporarily issue quotas for import cotton processing trade to meet market demand.

The market believes that because of the nature of this batch of quotas is "processing trade" quotas, rather than "quasi tax" quotas, the impact on domestic cotton prices is relatively limited.

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< p > traders and market participants expect that the number of such quotas will be about 70-80 tons.

And the market looks forward to the quota of cotton import quotas for the new year's sliding tax and the policy signals of the state in the new year's collection and storage.

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< p > "the quota of processing trade is not too big, and the amount of this amount is not big. Actually, the quota will be larger in the past year."

< a href= "//www.sjfzxm.com/news/index_cj.asp > > Green futures < /a > cotton analyst Ma Zhan said.

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< p > he also said that in general, China will publish the quotas of cotton quotas imported by sliding tax in March, which is the data that the market is looking forward to. However, this quantity has not been released yet, and the key point of supervision is still placed in the auction of cotton reserves.

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< p > China is the largest cotton consuming country in the world. According to sources, although the import quota of cotton processing trade has relatively limited impact on domestic cotton prices, it is expected to boost the US cotton prices to a certain extent.

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< p > < a href= "//www.sjfzxm.com/news/index_q.asp" > "processing trade" quota < /a >, that is, enterprises with quotas can achieve zero tariff import quota cotton, but ordinary enterprises can only use this quota to import cotton only if they have orders for processing trade, so the application of face to face for "sliding tax quotas" is that the general trade quota is relatively narrow and circulation is limited.

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P > previously reported that China is considering issuing new cotton import quotas and auction of some state-owned cotton reserves.

Among them, the sliding tax quota will be linked to the auction and the 3:1 ratio.

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< p > the national development and Reform Commission said earlier that the quota of low tax import quotas for wheat, rice and cotton in 2013 was equal to that of 2012, of which the quota of cotton import quotas was 894000 tons.

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