Cotton linter market performed in stalemate during the past month. Cottonseed price was relatively stable in the transition period. New cottonseed started to arrive sporadically in late Aug, but many cottonseed oil plants in major areas like Shandong and Xinjiang were closed, so cotton linter supply was limited. Moreover, cotton linter suppliers who suffered losses were unwilling to sell products at much low price and the market stagnated accordingly. 

Cotton by-products also held steady without strong upward momentum. Cottonseed and cottonseed oil were largely stable, though cotton dreg slightly improved. In downstream sector, cotton linter pulp mills were still running with low operating rates and refined cotton market remained in the doldrums. Meanwhile, new linters have not arrived in bulk and buyers already showed low buying interest to old linters, so cotton linter market development was restrained. 

Cotton linter market was somehow divided. First cut linter kept firm amid short availability while second cut and mixed cotton linter prices remained weak amid reducing supply and demand. New cotton linter starts to arrive without big volume and the market is not expected to see big changes in Sep. The performance after National Day holiday still needs further observation as demand is uncertain now.