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    Cotton Prices Plummeted &Nbsp; Sichuan Clothing Enterprises "Very Hurt."

    2011/5/25 9:42:00 32

    Cotton Prices Plummeted In Sichuan

    Since the second half of last year

    Upsurge

    The cotton price has dropped since the Spring Festival this year, and has fallen more than 30% in three months.


    Cotton prices are rising and falling, making Sichuan textile and

    clothing

    Orders for export enterprises were reduced. Chengdu customs data showed that garment exports in Sichuan dropped by 60% in 1-4 months.


    Beginning in the second half of last year,

    Cotton price

    The sharp rise and fall caused many cotton growers and textile enterprises to be frightened.

    As of yesterday's close, Zhengzhou cotton main contract closed at 25200 yuan / hand, compared with the highest point in mid February dropped by 25%, 3 months down more than 30%.


    The sharp rise and fall of cotton has a great impact on Sichuan's cotton textile and garment enterprises.

    According to data from Chengdu customs, Sichuan exported garments and accessories in total in the 1-4 months of this year, 310 million US dollars, a sharp decrease of 58.9%.


    Textile enterprises export orders reduced by 10%


    "Annoyed, cotton prices have fallen fiercely. Customers are watching. The real list is very small."

    Yesterday, Wan Weiping, chairman of Sichuan textile import and Export Co., Ltd., complained to the reporters of Huaxi metropolitan newspaper.


    Many customers choose to wait and see when they are experiencing a sharp rise and fall.

    Wan Weiping analysis said, "when the inflation is better, customers are afraid to continue to rise, they will rush to place orders, and when they fall, customers will choose to wait and see."

    Some customers even go to countries where prices are relatively stable and cheap.


    "Although the real demand customers still have to order, but in the recent cotton drop, there are more small bills, urgent orders and fewer orders."

    Wan Weiping said.


    According to rough statistics, the order and cotton price of Sichuan textile import and export company decreased by about 10% compared with that of cotton price.


    Small and medium-sized garment enterprises lose money in production


    Huaxi Metropolis Daily reporter contacted Xu Xiaochuan, deputy general manager of Sichuan Xinlixin import and export limited liability company. He was on a business trip in Shanghai. "I am talking about export business here. Cotton prices have plummeted and plummeted. Clothing companies like ours really can not stand it."


    As the predecessor of Sichuan garments import and Export Corporation, Sichuan Xinlixin import and export limited liability company has ranked sixth in Sichuan import and export company. It is also one of the ten key export enterprises in our province.


    When cotton prices rose, many cotton farmers had been able to sell cotton, and now they could not sell them and suffered heavy losses.

    The cost pressure of spinning and weaving enterprises is also very large.

    The rise is better, because buying or selling will not fall.

    But the fall is a bit tragic, the market is lagging behind, and the cotton prices of the high price producers are getting higher. After the finished products, they find that the price of cotton has fallen, and the price of finished products has also declined. Basically, they are losing money.


    Xu Xiaochuan said that the sharp rise and fall of cotton had a great impact on cotton spinning and clothing enterprises. Some small and medium-sized clothing manufacturers in the coastal areas had already been closed down. "No production, skilled workers have gone, and when the market is good, they can not recruit workers. Production is basically a buy and sell at a loss, and the price of silk is lower than that of raw materials, and the price of gauze is lower than that of cotton."

    Xu Xiaochuan sighed.


    The establishment of cotton price stabilization mechanism is imminent.


    Experts say


    In the big cotton producing province of Shandong, the price of cotton is only 8 yuan / kg, and it was sold at 14 yuan when it was the highest last year.

    Although these two cotton prices showed signs of stabilization, they were affected by the sharp rise and fall of cotton prices since the second half of last year.


    In March this year, the national development and Reform Commission and other departments promulgated the "2011 cotton temporary storage and purchase plan", and proposed that the 13 provinces in Xinjiang, Shandong and other 13 provinces should purchase the minimum purchase and storage price of $19 thousand and 800 per ton.


    In this regard, the industry analysis, the minimum protective price has a role in stabilizing the market, but it can not fully mobilize the enthusiasm of cotton farmers.

    If this round of collapse continues, cotton farmers' enthusiasm will be reduced, and the next round of ups and downs may be staged again.


    "The stability of cotton production is the source of all the industrial chain stability."

    Large fluctuations in output will drive prices of lint, yarn, cloth and other subsequent products to fluctuate. "Government departments should intensify efforts in cotton seed subsidy and temporary storage and storage system to keep cotton prices basically stable."

    Expert analysis of Sichuan Textile Science Research Institute.

    Huaxi Metropolis Daily reporter Niu Li


    Grain prices continued to rise in the first quarter of the province


    Yesterday, the West China Metropolis Daily reporter learned from the Provincial Department of commerce regulation of market operation, the 1 quarter of this year, our province's grain prices continue to rise.

    Among them, in February rose 15.5%, an increase of 1.6%, has been rising for 17 consecutive months.

    Rice replaced corn and wheat as a leading variety. In January and February, rice in our province increased by 15% and 29%, slightly higher than the national average of grain prices.


    According to the Provincial Department of Commerce, the volume of wholesale grain trade rose by 2.4% and 2.3% respectively in January and February. The average wholesale prices were 3.41 yuan / kg and 3.72 yuan / kg respectively, up 11.1% and 9.5% compared with the same period last year. The average retail price was 5.09 yuan / kg and 5.18 yuan / kg respectively, up 28.1% and 21.2% over the same period.


    From 1 to 4 weeks in March, the wholesale price of grain was 3.73 yuan / kg, 3.67 yuan / kg, 3.76 yuan / kg and 3.76 yuan / kg respectively, up 8.4%, 6.7%, 10.3% and 8.1% respectively.


    "There are many factors in the recent continuous rise in grain prices."

    According to the analysis of the market regulation department of the Provincial Department of Commerce, imported inflation pressure has pushed up some of the rising prices of agricultural products.


    At the same time, the frequent occurrence of disastrous weather aggravated the expectation of tight grain supply.

    At the beginning of this year, the drought in the north, especially in the main grain producing areas of North China, such as Shandong, Henan, Hebei and Shaanxi, continued to be dry in winter, and the demand for grain in the latter part of the market was expected to increase.

    Consumption continues to grow to boost demand for food.


    The obvious change of grain production and distribution pattern also affects the grain supply expectation.

    In addition, fertilizer and diesel as important agricultural materials, the upward trend of prices will cause the increase of grain and other agricultural products costs.

    Price increases such as labor also promote the high price of agricultural products.

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