Khmer Has Soared To Normal &Nbsp, And Downstream Companies Can'T Afford To Raise Prices.

After temporary silence in 7 and August, the domestic cotton price started a crazy rise in September, from 17 thousand yuan / ton.

Cotton prices have risen sharply for a short time and are likely to remain high for a long time, causing downstream garment and textile enterprises to suffer from their difficulties and take measures such as reducing production and raising prices to defuse risks.

Pang Jie clothing procurement Xiaoli told reporters that the current market supply constraints, even gray cloth are difficult to buy.

Some factories could not complete the order before signing, but some factories even reluctantly purchase raw materials and complete the order, but the price of fabrics has changed for several days, and they are losing profits.

The company is considering that the peak of traditional orders at the end of the year may temporarily reduce the quantity of orders, and start production again when the price of raw materials is stabilized.

Mr. Cheng, who made fabrics and grey fabrics in Shengze, said that when the market was bad,

According to him, the order price of cotton poplin fabric made by a company with a factory was 8 yuan / meter in 4-5 months, and it rose to 8.50 yuan / meter in 6-7 months. At the end of September, it was 9 yuan / meter, and the two days before it reported 9.70 yuan / meter, and the contract yesterday turned to 10 yuan / meter.

"In this way, the profits of the customers must have shrunk, and if our dealers haven't prepared more goods before, they will not make much money.

Since the price is high, the capital occupation is naturally great. Inventory turnover is slowing down, and the risk of default is increasing. "

Cotton is spun into yarn, woven into white embryos, and then printed and made into fabrics. Clothing companies buy Fabrics to make ready-made garments.

The high price of cotton is seriously impacting the middle and lower reaches of the textile and garment industry.

In addition, the backward production capacity of printing and dyeing enterprises has been largely shut down this year, which also has an impact on the cost and delivery time of garment and textile enterprises.

According to the Ministry of industry and information technology, there are 201 enterprises in the national printing and dyeing industry, including 89 in Zhejiang province and 61 in Jiangsu Province, which directly affect the production capacity of 2 billion 300 million meters in the whole year.

Reporters noted that the upward pressure on cotton prices has begun to pmit to the end consumer side, East China autumn and winter clothing wholesale price increase generally more than 10%.

If the price of cotton yarn rises by 5%, the price of ready-made clothes will increase by 2%.

But generally speaking, garment factories often lose profits before they can afford to raise prices.

Xiao Li said.

As supply and demand are difficult to change in the short term, the Khmer price will become a "normal" and will continue to have an impact on the domestic textile industry.

Shenyang Wanguo Securities recently reported that high cotton prices constitute a cost pressure on cotton spinning enterprises producing lower end products in the lower reaches, forcing many small and medium-sized enterprises to choose temporary cuts or suspend production and speed up the upgrading process of textile industry polarization.

The current round of cotton prices rose from the downstream end products overall rise.

From the links of cotton spinning industry chain, the upper reaches of cotton and yarns are the most expensive, while the Zhang Ji and the ready-made garments are relatively small, and the cost will be pferred to the terminal in the future.

According to the first textile net calculation, this year's domestic

"Cotton production in the first half of the year has become a major driving force for price increases. Strong consumer demand in the second half of this year has become a new driving force for the rise in cotton prices.

Against the backdrop of global resources grab, the price of cotton has hit the record high.

The price of cotton at least 20 thousand yuan / ton this year is likely to hit the historical high of 25 thousand yuan / ton.

Shenyin Wanguo thinks.