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Low Cotton Prices Can Hardly Help Textile Industry Get Out Of Trouble.

2011/9/17 10:47:00 38

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Low Cotton Price Textile Industry Cotton Spinning Enterprise

Stable cotton prices can be effectively reduced.

textile industry

Business risks, but at present, the textile industry downstream market orders, overcapacity and other "sinking" is still difficult to solve at a time, the textile industry to see the improvement may take some time.

In recent years, cotton prices often fluctuate significantly.

In November 2008, the price of lint fell to below 10 thousand yuan per ton, and cotton prices began to rise rapidly in the second half of 2010. The highest price reached 33000 yuan / ton in November last year, and now it has dropped to about 20 thousand yuan / ton.

The fluctuating cotton price has caused many cotton spinning enterprises and garment manufacturers to complain incessantly.

Experts predict that because of the increase in cotton planting area and the implementation of the national temporary storage system this year, cotton prices will be difficult to reproduce the craziness of last year.

Ma Junkai, Deputy Secretary General of Dezhou Cotton Association, said that cotton prices could not rise again and again in the second half of this year. It is estimated that prices will be stable at the price level of 20 thousand yuan to 25 thousand yuan per ton.

Orders are reduced.

Raw material

Frequent price fluctuations and rising labor costs are the main reasons for the predicament of cotton spinning and garment production and processing industry since last year.

Although the national temporary purchasing and storage policy has stabilized cotton prices, the industry believes that it will take some time for the cotton spinning industry to take advantage of the difficulties.

"As cotton prices stabilized in August, the price of cotton yarn tended to be stable at the end of the month, and sales were slightly faster than before, but prices were difficult to raise.

The pattern of oversupply of cotton yarn market has not fundamentally changed, and sales situation is still grim.

Ma Junkai said.

How to break the market predicament as soon as possible by stabilizing the cotton price is a problem that every enterprise is trying to solve.

Wang Sishe, general manager of Dezhou Hengfeng Textile Co., Ltd., said the pressure on the industry is still in the doldrums of market demand.

Order

Less, less export orders, the key to opening the market is to seize the opportunity to stabilize cotton prices.

Experts believe that the difficulties currently facing the textile industry are still grim. On the premise of stable cotton prices, it is expected that by the end of this year, with the gradual increase in demand for garment market, textile enterprises will gradually usher in the opportunity to get out of the dilemma.

Zhang Weiguo, director of the Economic Research Institute of the Shandong Academy of Social Sciences, said that the textile industry should make use of the opportunity for cotton prices to fall and stabilize, gradually adjust the product mix, research and produce products with high added value, and prepare for getting out of the predicament as early as possible.