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    Cotton Prices Hit A Ten Year High Of &Nbsp; Market Expectations Of Cotton Prices Or Breakthroughs Of Twenty Thousand

    2010/7/13 14:27:00 59

    Cotton Cotton Price

      

    Agriculture products

    The camp of price increases is expanding.

    The latest data from China's cotton information network showed that the cotton price index in China reported 18419 yuan per ton in July 9th, and continued to refresh its record for the last ten years.

    Market expectations, cotton prices will further break through the 20 thousand yuan / ton mark.


    This directly causes the price of raw materials such as cotton, cotton and other garments to rise.

    Textile enterprises

    It is also affected.


    The abrupt rise in cotton prices began in 2009 and has suddenly expanded this year.

    From December last year, cotton prices rose by more than 30% year-on-year for 5 consecutive months.


    Xu Wenying, vice president of China Textile Industry Association and President of China Cotton Textile Industry Association, said that cotton prices began to increase since last October and reached 14833 yuan / ton by the end of last year.

    As of June 30th this year, the domestic 328 cotton spot index was 18309 yuan / ton, up 42.6% over the same period last year.

    "The current cotton price rising trend is still continuing, and every ton has increased by more than 8000 yuan from the beginning of last year."


    about

    Cotton price

    The reason for soaring, Xu Wenying pointed out that, first of all, this year's surge in foreign orders stimulated textile enterprises' demand for cotton, while domestic cotton production is decreasing.

    "Domestic and foreign markets are warming, and demand is picking up gradually, which has stimulated the increase of cotton sales. At the same time, cotton production has declined and cotton pportation has been difficult in Xinjiang last year, so it is difficult to buy Cotton in the mainland."


    The continuous rising of spot price of cotton directly leads to the price rise of raw materials such as cotton yarn and cotton cloth, thereby affecting the cost of the middle and lower reaches enterprises.


    Facing the situation of high cotton prices, the textile industry has to carry on the price to the downstream through the way of cost pfer.

    Jiang Yun, general manager of Hubei Feng Feng Textile Co., Ltd., said that in the face of difficulties, the company can only reduce the cost pressure through price pmission.


    As the downstream garment industry, the clothing industry has also been affected.

    Mr. Wang, who does wholesale cloth business, says that generally speaking, the rise of cotton prices reflects 4 to 6 months' time for downstream garments.

    Starting in May, textile mills have entered the peak season for autumn and winter clothing production, and the amount of cotton used in autumn and winter fabrics is even larger. At present, cotton prices remain high, which may lead to higher clothing prices in the second half of this year.


    For the follow-up trend of cotton prices, new lake futures believe that the cotton price in spot market is expected to be higher and lower in the fourth quarter.

    The current spot price has a larger upside down rate, and the market outlook is expected to gradually converge.

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