The Construction And Empirical Research Of "contract Farming And Futures" Model Of Xinjiang's Cotton

Since cotton price has opened, the cotton price is fluctuating rapidly. Production of Xinjiang's cotton is mainly based on "small farmers" contract, and its ability to resist the risk of price fluctuation is relatively weak, so they often become the most direct victims for the rapidly fluctuating in cotton price, reducing the cotton farmers'enthusiasm to grow cotton.The cotton farmers can't carry up with the information of cotton price, so the production of cotton farmers can not keep up the rhythm of the market, and the cotton price fluctuating trapped in a "spider's web". Xinjiang's cotton industry can not develope and grow. To develop Xinjiang's cotton industry,it is the first to break the past methods of production at some area where they have good conditions. There requests new forms of organization to change the current situation that "small farmers",circulating enterprises and processing enterprises are in the scattered state. The new organizational model such as contract farming can just connect them to form common interesting groups. Price finding and hedging functions of futures market can provide price information for signing contract and transfer agricultural price risk of contract, reducing the risk of non-compliance. In this paper, by constructing "Contract farming and Futures" model of cotton and analyzing the cotton data, cotton-related enterprises can find the best hedging strategy in order to transfer risk of the cotton price and achieve maximum benefits.This thesis uses the methods of the combination of qualitative and quantitative analysis, the combination of empirical study and normative analysis to analyze how to construct "contract farming and futures" model of Xinjiang's cotton..The thesis consists of seven chapters, around constructing "Contract farming and Futures" model of Xinjiang's cotton, step by step in-depth studying. The first chapter is Preface.It introduces the background of the selected topic, significance of research and document summarizing. Chaptersâ…¡proposes to construct "Contract farming and Futures" model of Xinjiang Cotton's futures theoretical basis. Chapterâ…¢introduces the contract farming and analyzes merits and demerits of the contract farming.Chapterâ…£analyzes the premise of constructing "Contract farming and Futures" model of Xinjiang's cotton, as a result that cotton futures market can be very good for cotton-related enterprises to use this model of service. Chapterâ…¤analyzes how to construct "Contract farming and Futures" model of Xinjiang Cotton, and to compare with the different models'hedging performance of Xinjiang's cotton futures market to provide operational guidance for Xinjiang cotton-related enterprises in the futures market. Chapterâ…¥analyzes "Contract farming and Futures "model at the role of Xinjiang's cotton industry development. Chapterâ…¦proposes that cotton-related enterprise should pay attention to use of "Contract farming and Futures" model, finally, summarizing the full paper.