Ministry Of Commerce: June &Nbsp; "China Shengze Silk Chemical Fiber Index" Market Sentiment Index Analysis 2

June

1, Conghua fiber products boom two level index chart, we can see that in June, Shengze market sales volume, product orders, product sales prices, liquidity turnover, corporate finance, customer sentiment, staff salaries, product innovation, cargo delivery, resource supply, general operation and other two classification index showed a downward trend compared with last month, the sales season is no doubt, in the combined effect of these factors, the market sentiment indicators decline.

2, the intensity of product innovation is weakened.

From the index data, we can see that in June, the sales of conventional chemical fiber varieties in Shengze textile enterprises still occupied a large market share, and lack of innovation. Many SMEs still did not form the deep development capacity of textiles.

In recent years, the textile enterprises in Shengze have improved their brand awareness after the financial crisis. The product innovation has improved in the first few months, but most of them are downstream orders, and enterprises do product innovation according to their needs. There are not many enterprises that are able to innovate independently. In the face of the reduction of market orders in June, it is not surprising that product innovation is weakening.

3, the lack of necessary talent echelon.

At present, textile composite talents have become an important bottleneck restricting the development of Shengze's textile enterprises. From our survey of enterprises, we find that enterprises, especially the outstanding teams and marketing management teams, need to play brand and product development.

4, the start-up rate of textile enterprises is seriously insufficient.

In June, the start-up rate of Morizawa Ri and printing and dyeing finishing factories was seriously insufficient. This was mainly due to the serious fluctuation of water quality at the junction of Jiangsu and Zhejiang provinces since March of this year.

According to the analysis of environmental monitoring results, illegal discharge from weaving enterprises is the main cause of water quality fluctuations.

The situation is serious. In some enterprises and regions, the discharge of waste water has already gone beyond the processing capacity, and the wastewater treatment facilities are running out of order. Some of the wastewater is directly discharged. Therefore, in order to cooperate with environmental protection inspection, the enterprises from upstream raw materials to weaving and then finishing enterprises have been put into the inspection area. Most enterprises are required to stop for one day a day, thus greatly reducing the production efficiency of enterprises. The product orders can not be completed on time, which has brought great negative effects to many enterprises. The phenomenon of customer churn has occurred frequently. In the face of this situation, enterprises are also very helpless. They only hope that the inspection will end soon. But judging from the information obtained by the Environmental Protection Bureau, it is estimated that the inspection will continue until September, which should be bad news for textile enterprises. This is a bad news for Shengze textile enterprises. Since the beginning of this year, the textile market has been booming.

5, besides the influence of policy factors, enterprises are dissatisfied with the production workers, and the production schedule can not operate at full capacity. At the same time, it is in such a low season, the sales volume is insufficient, and the receivables recovery is more difficult, resulting in the difficulty of capital turnover. In the face of such difficulties, enterprises have expressed the need to actively expand the market, raise funds in multiple ways, and help enterprises to tide over difficulties.

6, the cost of raw materials is rising.

Due to the power restriction measures in Zhejiang, polyester factories will have to reduce production in a wide range. This will inevitably cause the imbalance between supply and demand of polyester products.

Therefore, in the middle and late 6 months, Shengze weaving enterprises have a positive attitude towards stock, making the production and marketing of polyester factories in Jiangsu and Zhejiang provinces have been maintained at a high level, and some manufacturers have been in zero inventory.

However, we know that as a labor-intensive industry, the profits of the textile industry have been relatively low, and at present, China's textile industry has not completed the industrial upgrading, production technology is relatively backward, and the utilization rate of the production capacity is relatively low.

For foreign customers, if China's textiles have no price advantage, they will choose Vietnam, Indonesia and other textile products with more price advantage to purchase; for domestic customers, because of the fierce competition in textile industry, substantially raising the price means losing the market.

As a result, the profits of the textile industry will be further compressed.

At present, textile enterprises have to choose between "protecting profits" and "protecting customers". Once a large number of customers are lost, enterprises will eventually go bankrupt, so more enterprises choose to sacrifice profits to keep customers.

7, the appreciation of RMB poses a threat to Shengze's textile industry.

First of all, the exchange rate reform will shrink China's dollar denominated assets in the short term. Secondly, the appreciation of the RMB after the reform will lead to some industries with high dependence on exports, especially textile and other labor-intensive industries.

For the time being, if the renminbi appreciates, Shengze's foreign trade enterprises will be caught in a dilemma. One side is the soaring raw material prices, the other side is the quotations that the main textile importers of Europe and the United States are constantly lowering due to the appreciation of the renminbi.

If such a situation continues, it will further backlog the low profit margins of textile industry. The choice of textile enterprises will be to stop production or close down or abandon overseas orders.

Two, for June

In June, cocoon and silk products monthly prosperity index continued to take a step forward on the basis of steady progress in May, closing at 107.57 points, rising 5.18 points over May. This is the fourth consecutive month that the prosperity index of silk products has risen.

Table 1 is June.