Cotton Policy Needs Three Adjustments Urgently

　　 November 28th ~29 2010, China's cotton textile chief engineer forum was held in Changde, Hunan. The forum was convened in the context of strong rebound and strong market demand in China's cotton textile industry. The 12th Five-Year "The industry was tentatively determined to have a guiding significance for the development of the industry in the critical period of 2020.

Xu Wenying, vice president of China Textile Industry Association and honorary president of China Cotton Textile Industry Association, emphasized that although the yarn and cloth output of the whole industry has been restored to 2008 this year, Economic crisis At the previous level, investment in cotton textile industry also showed a sharp rise, but Cotton textile industry There are still many structural contradictions and are faced with many difficulties. It is imperative to transform the mode of economic development and achieve industrial upgrading. Promoting the healthy, stable and sustainable development of the industry is the main development direction and goal in the future.

　 Adjustment of cotton policy

Achieving win-win situation for cotton farmers

The rise and fall of cotton prices this year has worried many textile industries. The safety of raw materials supply has become a hot topic discussed by leaders and experts. Xu Wenying, standing on the healthy and sustainable development of the future industry, appealed to the relevant state departments to make appropriate adjustments to some cotton policies currently implemented.

Xu Wenying talked about the proposal to subsidize cotton farmers. The increase in cotton prices this year is not only a reflection of the resumption of economic growth in the post crisis era, but also a result of excess liquidity and inflationary pressures. However, the reduction of planting area and natural disasters are the basic reasons for the rise in cotton prices. At present, the gap of cotton in China is getting larger and larger. The planting area of cotton has been reduced from about 88000000 Mu to about 70000000 mu, which is directly related to the low enthusiasm of farmers. The main reason why farmers' enthusiasm for planting cotton is not high is that cotton is not planted and the grain income is high. Besides, planting cotton also needs to lay film and control cotton pests. Planting cotton per mu income is only 1300~1400 yuan, while planting wheat, corn and other grain crops, the income per mu is about 2000 yuan. Moreover, the grain grower countries also give subsidies to them. Therefore, the trade associations suggest that the state subsidize cotton farmers so as to raise farmers' enthusiasm for cotton planting and ensure the safety of cotton supply.

Two, it is suggested that the state should change the current situation of non-uniform input and output tax of cotton. At present, cotton textile enterprises have to pay 13% of the value-added tax on cotton when they purchase cotton. When they are sold into cotton spinning enterprises, they will pay 17% VAT, and only 13% by deduction. So the difference between buying and selling two points is 4 percentage points. The existence of 4 percentage points is unreasonable. In the chemical fiber industry, when the raw material is purchased, 17% of VAT is sold, and the value added tax is 17% when the yarn is sold, the tax rate is 17%, and the tax rate is equal to the tax rate. At the same time, cotton growers do not sell seed cotton to textile enterprises, but cotton ginning plants produce seed cotton into lint and sell them to textile enterprises. According to reason, lint should belong to industrial products, and input tax should be changed to 17%. Cotton growers do not pay taxes on seed cotton. Therefore, unified cotton input tax and output tax will not damage the fundamental interests of cotton farmers.

Three, it is proposed to adjust the tax system. The current import quota of cotton is controlled by both quota and sliding tax. Because quota is issued according to the gap, the quantity of cotton imports has been effectively controlled. At present, cotton prices and domestic cotton prices will remain high for a long time in the case of cotton prices, workers' wages and seed cotton costs. Therefore, the import sliding duty has not been implemented. It is suggested that the import slip tax be adjusted to cotton subsidies, which can protect farmers' enthusiasm for cotton planting and take care of the interests of textile enterprises. We should increase support for cotton spinning enterprises to actively use cotton in two domestic and international markets, and suggest that the state purchase the international cotton at a timely low price for reserves. The reserve should be at least 2 months' domestic cotton demand.

　　 Transformation of development mode

Actively participating in international competition

As raw material prices and labor costs continue to rise, industry restructuring is becoming more urgent. In the past, the development strategy of relying on cheap labor and low value-added products to compete in the international market has also reached a fundamental change.

Xu Wenying said that the China Textile Industry Association proposed to basically realize industrialization in 2020. Under the overall layout framework of building a well-off society in an all-round way, actively changing the mode of development and achieving a healthy, stable and sustainable development of the industry will become a key task during the 12th Five-Year period. Starting next year, that is, the first year of 12th Five-Year, we should initially realize the transformation from a big textile nation to a strong textile country in the next 10 years. Textile power is mainly embodied in technology, brand, talent and sustainable development. The standard of science and technology is that the development of industry should reflect the progress of science and technology. Recently released the "outline of scientific and technological progress of the textile industry" in 12th Five-Year, put forward that the key tasks of the scientific and technological progress of the textile industry during the "12th Five-Year" period will focus on 50 scientific and technological tackling projects and 110 advanced practical technology popularization projects. The standard of brand power is that clothing and fabrics have their own brand competitive advantages, and how to ensure sustainable development is also a standard of textile power. In this regard, we need to make several changes in accordance with the leadership of the Textile Association: from labor comparative advantage to innovation driven transformation, emphasizing the contribution of technological contribution and brand contribution; changing from resource dependence to resource saving; developing circular economy and low carbon economy; changing from neglect of environment to environmental friendliness, vigorously developing clean production and green economy; changing from extensive to intensive, improving market transition, emphasizing intellectual property protection and strengthening industry self-discipline.

　　 We must continue to promote technological transformation, resolutely eliminate backward equipment and promote industrial upgrading. In the coming period, technological transformation is still an important task of industrial adjustment. Practice has proved that adhering to the connotation of extended reproduction road is a method of short investment, short construction period and quick results. Optimizing the stock assets of enterprises is also a technical means of upgrading the textile industry. According to the plan, the elimination of all A prefix, 1 prefix and shuttleless looms should be completed in 2011~2013. The technological transformation of enterprises should consider ten years and eight years. The year 2011 will be a year of tight macroeconomic policy. The structural adjustment of the industry may enter the real stage of implementation, because only by truly realizing the transformation and upgrading of industry and realizing the transformation from big to strong will the industry have the opportunity to participate in international fair competition better.