China Cotton Market Daily (19 Nov 2009)

CCF price

•11/19 CCF RMB price for type 329: 14445yuan/mt, +40yuan/mt
•11/18 CCF USD price for type 329: 96.00cent/lb
•11/18 Cotlook A: 71.65cent/lb, -0.40cent/lb

China cotton

Cotton prices maintained firm. Prices of grade-3 cotton have climbed up to 14500yuan/mt in many areas. In Norwest Shandong, the offers for type 329 have mostly reached 14500-14700yuan/mt (ex-warehouse, gross weight). Many cotton enterprises were reluctant to sell.

Affected by difficulties in transportations, the offers for Xinjiang cotton were adjusted up further, for delivery to upcountry. In East China, most Xinjiang type 229 were offered at 14700-14800yuan/mt (conditioned weight, ex-warehouse

Imported cotton

CIF offer for foreign cotton generally climbed up by 0.50cent/lb. For example, offer for type S-6 1-1/8 went up to 73.00cent/lb. Currently, it was heard that cotton export might be banned in Pakistan and Indian, but we thought it was unlikely to be implemented in the short term, but the export volume might be reduced.

At present, price for Customs clearance long-staple cotton continued to advance. Price for Egypt Giza 88 went up to 24500yuan/mt, while value for U.S. Pima was 25000yuan/mt, which was at the same price with domestic long-staple cotton.