Intering 2010, the cotton procurement and processing ended basically, cotton prices declined slightly. Influenced by the the deposit reserve ratio rising and other factors, the domestic price of futures and the e-market fell sharply, but the spot market has fluctuated slightly, overall stability.

In 2009, under the national macro-control policy and rigid supply-demand gap, the cotton prices remain high level, farmers selling and enterprices procurement are all positive. By the end of January 2010, Xinjiang cotton procurement completed, the Yangtze River basin has been over basiclly, there are still sporadic acquisition in some provinces of the Yellow River Basin, the overall progress of the country faster than previous year. Since the quality of late cotton decline, the purchase price is also slightly lower.

In January, the People's Bank raised the deposit reserve ratio by 0.5 percentage points, stock and futures market fell sharply. In addition, cotton import volume increased, the domestic market supply is relatively abundant, cotton interprices sales positive, but the textile enterprices have complemented the stock before the Spring Festival, the spot market turnover was more light, price continue minor adjusting, growth speed has slowed down. The January average China Cotton Index (CC Index328 level) is 14,932 yuan / ton, higher than December 126 yuan.

The international cotton spot prices continued falling, domestic and foreign cotton price difference increaseed, import cotton have obvious price advantages, coupled with the quota more adequate at the beginning of the year, the volume of import cotton continued sharp increasing. In January, China import cotton 301,000 tons, growth 39%, year-on-year increase nearly 3-fold, in which nearly 80% were tariff quota import.

According to the survey of China Cotton Association and various local Cotton Association, due to the cotton price rose sharply in 2009, the majority of farmers income have increased, the current investigation showed the farmers growing intention increased in 2010 rise slightly. However, compared with other agricultural products, cotton has not obvious advantages, the farmers intention still below the expectations. Spring sowing work has started to prepare, some cotton farmers are still waiting to see the trend, they recommended that national support policies introduced as early as possible in order to ensure the stable development of China's cotton production.