Home Textile Industry Has Been Dragged Into Embarrassment By High Cotton Prices.

From 13 thousand yuan / ton in September 1st to nearly 28 thousand yuan / ton in November 3rd, it is only two months. cotton The price seems to have been on roller coaster, with a total increase of 54%.

At the first China Home Textile Forum, Yang Donghui, vice president of the China Textile Industry Association, said that the recent increase in the price price of cotton was mainly the result of short term loss effect, calling for domestic textile enterprises not to follow the wind.

Industry experts predict that in the past 2010~2011 years, the supply and demand gap of the global cotton market has reached 890 thousand tons. If the recent supply of cotton can not be effectively increased, this shortfall is likely to continue until next June.

　　 High cotton price phagocytosis textile industry profit

Since September, a new wave of raw material price increase has been threatening in China. From September 10th to October 25th, the price of 21S cotton yarn has increased by more than 25%, and the price of home textile fabrics has increased by 15%. In a sense, China's home textile enterprises are facing the most severe test after the financial crisis.

The latest statistics of China's home textile industry associations on 14 domestic textile industrial clusters show that in 1~8 months this year, the total output value of the home textile industry reached 144 billion 440 million yuan, an increase of 17.96% over the same period last year; the main business income was 141 billion 680 million yuan, up 18.33% over the same period last year; the total profit was 6 billion 600 million yuan, an increase of 24.25% over the same period last year, and the average profit margin of the textile industry was 4.66%, an increase of only 0.23 percentage points over the same period last year.

The reason for this is that the price of cotton yarn, which is the main raw material of towels, is higher than that of the main raw material of bedclothes and the main raw material of polyester fabric, in the words of Yang Zhaohua, President of China Textile Industry Association. In addition, towel enterprises independently bear a long production process, and cotton yarn rises too fast, resulting in the downstream enterprises difficult to digest and control.

"As far as the domestic market is concerned, since the price rise of cotton since September is carried out on the high price in August, the enterprises themselves are hard to digest, and the price of products must be adjusted accordingly. The sales volume of products after price adjustment will be affected, which will affect the normal production and operation of enterprises." Yang Zhaohua said frankly, in addition, because raw material The price hike was too fierce, and the orders and long-term orders in the two quarter of autumn and winter were severely damaged, resulting in further compression of the profit margins.

　　 Home textile enterprises are under heavy pressure.

From the reporter's interview, under the dual pressure of "no rice under the pot" and "inability to raise prices", many home textile enterprises have been caught in the embarrassing situation of small profits or even losses.

Shen Shunnian, managing director of the warp knitting industrial park in Zhejiang, Haining, China's most famous town of warp knitting, told reporters that this year, the park has seen a good market for production and sales. It is the best year for the market in recent years. In the first three quarters, the total industrial output value of the park was 11 billion 590 million yuan, an increase of 41.5% over the same period last year, and the sales revenue reached 11 billion 700 million yuan, up 45.7% from the same period last year. However, the total profit and tax amount was only 500 million yuan, and the growth rate was only 5.6% over the same period.

"Besides labor force, fuel power cost rising, and energy saving and emission reduction, the rising price of raw materials such as cotton is an important factor." Shen Shunnian said that in the long run, the rising price of raw materials is an inevitable trend, but the speed and extent of price increases must be moderate, and the fluctuation of prices should not be large and large. Otherwise, the downstream enterprises will hardly be able to bear the pressure of cost increase.

　　 Export enterprises become "the hardest hit areas"

Reporters interviewed learned that, because of the relatively low proportion of raw material costs and the comparative advantages of brands and channels, domestic enterprises have better ability to transmit prices and resist risks.

The chief executive of Hunan Meng Jie home textile company, lacquer hung Jie, told reporters that at present, the operating rate of enterprises is adequate, and the handheld orders next year are also ideal. The company is a typical domestic sales enterprise with an export ratio of only 6% to 8%.

Reporters learned that during the Canton Fair this year, foreign buyers basically accepted the high price of 28 thousand yuan / ton cotton, and began to implement the flexible order system for a week, that is, domestic enterprises do not take orders within 7 days, which means giving up voluntarily. This way will undoubtedly affect the next year's production plan of domestic enterprises.

Many home textile enterprises participating in the Canton fair said they were confused about the price of raw materials and the future market situation. The head of a domestic textile enterprise even jokes that "when the enterprise prepares for the end of the Canton Fair, it will leave the employees and wait until the Spring Festival starts again next year."

Anhui Xingxing light textile group is a complete export textile enterprise facing the US market. Guan Lei, general manager of the group, told reporters that the company is already in a state of low profit, and that the export will only take part in the purchase. According to reports, cotton costs account for about 73% of the total cost of the company's products, up to 80%.

"In order to reduce costs, the company has shut down all the external plants which account for 1/3 of the total capacity. At present, the operating rate of the enterprises is only 2/3." Tube bud said helplessly.

　 Industry

Calls for measures to curb rising cotton prices

The reporter learned from the enlarged meeting of the five executive director of the China Textile Association in early November that the domestic textile association has reached a consensus on the situation of rising cotton prices, and will jointly write to the relevant departments in the near future, calling on the state to introduce policies and measures to curb the rise in cotton prices as soon as possible, and at the same time, taking into consideration the interests of the vast majority of cotton farmers in China, and scientifically demonstrate the rationality of the current cotton value.

The home textile association appeals that nowadays the home textile enterprises must work together to develop new products, enhance brand culture and product value, enhance the voice and pricing initiative of the international market, take the initiative to win the market with high quality products, on the other hand, effectively reduce the proportion of raw material cost in product cost, attach importance to terminal and channel construction, and accelerate the innovation of marketing mode.

Yang Zhaohua, President of China Textile Industry Association, suggested that in the face of the high cost of raw materials, domestic textile enterprises in particular should vigorously implement R & D, improve the technological content and added value of products, and constantly improve the level of internal management, so as to realize the optimization and upgrading of industrial structure and product mix.