Base selling price and averaged trading price

During the reserved cotton sales, the base selling price has two calculation methods. From Nov 1, 2021, the calculation method of reserved upcountry cotton was adjusted to be related with the international spot cotton price, according to the announcement released by China Reserve Cotton Management Co., Ltd on Oct 30. The base selling price of reserved upcountry cotton this week=the average price of prior week's international cotton price. Other reserved cotton price calculation method remained unchanged, which was set at the average price of international cotton and domestic cotton. The base selling price has certain influence on the trading prices of reserved cotton. From Oct 29 to Nov 4, average trading price of reserved cotton slipped, mainly due to the higher trading volumes of upcountry cotton, while base selling volumes moved up steadily. Later, with the improvement of Xinjiang cotton quality and sales of imported cotton, the average trading prices stepped up. On Nov 25, trading prices rose sharply, and from Nov 26 to Nov 30, the trading prices were also higher than ZCE cotton, which was attributed to the lower volumes of upcountry cotton.