Cottonseed Supply Has Increased with More Harvesting And Processing of Seed Cotton in China

Recently, cottonseed supply has increased with more harvesting and processing of seed cotton in China, particularly the increment in the volume of machine-picked cottonseed in Xinjiang. Prices came under pressure and declined again, generally at a low level in the past five years. Cotton linter market saw an increase in cautious sentiment, and prices tended to stabilize after rising.

Before the National Day holiday, cottonseed prices rebounded somewhat. After the holiday, influenced by the continuous decline in ZCE cotton Futures, the purchase price of seed cotton gradually decreased. Currently, prices have stabilized after the decline, with the price of machine-picked seed cotton in Xinjiang mostly around 6.1-6.3yuan/kg. Recently, with the increase in the arrival of new cottonseed, especially the significant increase in machine-picked cottonseed after the National Day holiday, combined with the weakening of the cottonseed oil and cottonseed meal market after the holiday, the purchasing pace of cottonseed oil plants slowed down, and the supply pressure of cottonseed became apparent. Prices decreased again, with current cottonseed prices in Xinjiang around 2,000-2,050yuan/mt, a decline of more than 100yuan/mt after the holiday, which was at a low level in the same period over the past five years.