Silk Market: National Policy And Stable Market

From May to July, the price of dry cocoons dropped to 90 thousand yuan / ton from 130 thousand yuan / ton, and the price of raw silk dropped from 430 thousand yuan / ton to 350 thousand yuan / ton.

At present,

It is understood that the industrial sector of the silk industry is fragmented and the risk bearing capacity is relatively weak.

The industry believes that the sluggish overseas market will promote the integration of silk enterprises' industrial chain.

Cocoon silk said it will stabilize the market.

Just 2 or 3 months ago, cocoon silk was once crazy.

According to the person in charge of a silk enterprise in Shengze, Jiangsu, the price of cocoon silk has been in a low position at the beginning of the past two years.

However, in March this year, after purchasing cocoons from Guangxi and other places, the purchase price had reached 28-30 yuan / kg, which was basically the same as the highest purchase price in the middle of last year.

By April this year, the highest purchase price of cocoon had even reached 40 yuan / kg.

According to the proportion of dry cocoons made per 2.5:1, the cost of dry cocoon has reached 100 thousand yuan per ton.

The raw silk is made according to the ratio of 3.5:1, and the cost of raw silk is only 350 thousand yuan / ton.

Plus all kinds of

However, the latest quotation in July 27th showed that the spot price of Guangxi dry cocoon was 8.5-9 yuan / ton, which was down by 3 thousand yuan / ton compared with the highest price in 2 days.

The spot price of raw silk was 34-35.3 yuan / ton, which fell by 2-3 yuan / ton before half a month ago.

According to statistics, the latest contract of dry cocoon double main contract yesterday closed at 85 thousand and 600 yuan / ton, down 700 yuan / ton compared with the previous trading day.

The recent contract of raw silk was closed at 307 thousand yuan / ton, down 7300 yuan / ton compared with the previous trading day, and the volume of turnover and order quantity were also relatively plain.

Cocoon silk traders said that the market generally saw the trend of cocoon silk prices in recent months.

In view of the substantial fluctuation of cocoon silk prices, the National Cocoon Silk Office recently announced that the Ministry of Commerce will strengthen the monitoring of cocoon silk market and closely track the market supply and demand and price changes.

In addition, two measures have been put forward to stabilize industry confidence, increase domestic and foreign market development, expand consumer demand and prepare for national reserve control.

People in the silk industry told reporters that the price of cocoon silk rose sharply and upside down occurred in the same period last year.

However, the macro situation is quite different from this year.

Last year, the export volume of silk products showed a recovery trend, and the demand for raw materials increased significantly.

In order to ensure stable supply of raw materials, enterprises and purchasing stations raised the purchasing price of cocoons, and the speculation of hot money finally led to the upside down of cocoon silk.

At that time, a number of filature factories did not choose to stop production.

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However, behind the soaring price of cocoon silk this year, the increase of labor costs and other kinds of production costs is the main reason.

However, the export of silk products is not ideal this year.

Not only is the silk reeling plant in trouble, but the high priced inventory of the silk plant is difficult to digest at the same time.

The silk clothing enterprises at the end of the industrial chain can only digest some of the increased cost compared with the soaring raw material prices even if they take measures to raise prices.

The original profit level of the silk industry is not high, and profits have been further squeezed. The situation of most enterprises will be rather difficult.

In the first quarter of this year, the China Silk Association also made clear in its industry analysis report that the export situation facing the future is complicated, coupled with the price of raw materials and the rising cost of various elements, and the pressure on production and operation of enterprises will increase.

The situation of silk terminal consumption is not optimistic. It has also shown signs in the first quarter.

In the first quarter of this year, domestic silk products increased by 0.45% because of the rapid rise in prices. The export volume of silk goods decreased by 8.29% compared with the same period last year.

Although the export volume of silk garments has increased significantly, the export unit price in March dropped by 77.7% compared with the same period last year, which means that the price of raw materials has not been pferred to the products.

According to the traders of cocoon silk, the downstream recession has also restricted the upstream. This year, the purchase price of summer cocoons in some areas is no longer as high as that of spring cocoons. The purchasing price of high and low prices is easy to combat the enthusiasm of sericulture farmers to raise silkworms, which may lead to the reduction of autumn cocoons.

A series of processes are similar to cotton spinning industry.

Due to the lack of positive stimulation of the terminal consumer market, cocoon silk is expected to fall, and raw silk prices will even fall below 300 thousand yuan / ton.

The recovery is expected to wait until the beginning of the year when the inventory is low or the end consumer market will improve.

The difficult situation will form a forced mechanism for the silk industry.

It is reported that some large scale silk production enterprises have basically completed the layout of a complete industrial chain from silkworm production to clothing production, and the impact of large fluctuations in raw material prices is relatively small.

In the middle of the industrial chain, a large number of silk reeling factories and silk factories have automatically withdrawn from the market or moved to less expensive areas, and some have formed industrial alliances with local upstream and downstream enterprises.