Hebei'S Use Of High-End Products To Cope With Soaring Cotton Prices

Experiencing the impact of the international financial crisis, 2010

Multi channel acquisition of cotton control costs

"At present, the stock of cotton is equivalent to the amount of 3 months used by the company. Since 2010, although the price of cotton has fluctuated and the supply is tight, the company's inventory has remained at least two months."

Wu Xuechen, Minister of Changshan stock operation Department, introduced.

Despite the recent drop in cotton prices, cotton prices rose all the way in the first 11 months of 2010, rising from around 13500 yuan per tonne at the beginning of the year to 32000 yuan in the first half of November.

The amount of cotton stock is the basis for the normal production of textile enterprises.

Hebei's Ningbo, Hong Run, Changshan shares and other large textile enterprises have more cotton stocks, enterprises have stronger ability to deal with price fluctuations.

According to reports, although cotton prices have climbed all the way, the cost of cotton in Changshan shares has been lower than the market price level in the same period.

"We have a professional team to track the market, study the market and national policies in a timely manner, and acquire cotton through multiple channels."

Wu Xuechen introduced the establishment of a cotton picking trading company in Xinjiang, and took a look across the border, paying close attention to the international market dynamics at the same time. At the same time, it made full use of the national cotton auction time to purchase the national cotton store. In addition, it also made use of futures, spot and other resource channels to increase the purchasing power of cotton.

High-end products enhance competitiveness

"In the 9 to November of 2010, the biggest fluctuations in cotton prices, the production and sales rates of large textile enterprises in Hebei were higher than usual. Changshan shares in 2010 and October were higher than 100% in terms of production and marketing rates," he said.

Provincial Textile and garment industry association responsible person said, with the rise in cotton prices, yarn prices and so on, as large textile enterprises can produce high-yield, high density, combed yarn and other high-end products, it also has more say, yarn price increase is higher than cotton price increase.

In April 2010, a large company in Guangdong suggested that a high count cotton yarn is needed, with fineness equivalent to 1/10 of the ordinary fabric.

Changshan textile Heng Xin company has made a series of adjustments in raw material selection, equipment adjustment and process optimization, and finally produced this yarn.

Due to meeting the needs and high quality, Guangdong company gave all orders for this yarn to Hengxin company.

According to the briefing, at present, nearly 7 million spindles of textile enterprises in Hebei Province, about 1/3 of which are concentrated in large textile mills, and most of the spinning machines are advanced in technology.

Other spindles are concentrated in small and medium-sized textile enterprises, in which the proportion of old spinning machines is large, and the ability of enterprises to cope with market fluctuations is poor. Some enterprises can only stop production.

"The first draft of the" 12th Five-Year plan "of Hebei textile and garment industry is put forward. It is necessary to strengthen the application of new technologies, increase the production of new products, and promote the overall upgrading of the textile industry, so as to enhance the market competitiveness of Hebei textiles.

Provincial Textile and garment industry association responsible person.

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