Cotton Prices Skyrocketed &Nbsp; Dalian'S 300 Garment Enterprises

According to the Dalian Textile Association, recently

The soaring price of cotton, cotton yarn and cotton cloth not only shifted the cost to the downstream garment industry, but also engulfed the profits of garment enterprises.

According to estimates, because cotton accounts for about 40% of the cost of clothing, and cotton price rises by 5% every time, the profits of garment enterprises will drop by 2%.

According to insiders, the increase in cotton prices is mainly due to tight supply and demand.

In 2009, the cotton planting area in China decreased, and the total output was about 6 million 400 thousand tons, about 1 million 100 thousand tons less than in 2008.

With the global economy improving, foreign orders increased this year, stimulating the demand of domestic textile enterprises for cotton.

Second, natural disasters cause global cotton production reduction.

According to market forecasts, China's flood will lead to a reduction in cotton production by 5%-10%. About 30% cotton fields in Pakistan and other cotton producing areas are damaged.

Some large enterprises in the industry hoarding cotton speculation also led to a rise in cotton prices.

At present, the market is still used last year's cotton. In October this year, the new cotton market will stabilize cotton prices for the next few months.

However, because of the less domestic cotton output this year, the overall trend of cotton prices will continue to rise in the future.

In this regard, Dalian garment enterprises began to take some measures.

For example, multi-channel procurement