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    Gross Profit Dropped To 1%, Causing Cotton Spinning Enterprises To "Abandon Cotton" &Nbsp; It Is Hard To Find Pure Cotton Clothes.

    2011/11/19 9:31:00 14

    Careful citizens found this year's

    clothing

    In the market,

    In recent days, reporters have investigated

    Wuhan

    Cotton textile industry chain found that this year, the collapse of cotton prices caused a series of unexpected "Butterfly Effect".


    "Cotton clothes don't work well. We haven't done much in autumn and winter."

    Wuhan artistry Dini clothing manager Shao told reporters.

    Yesterday, when reporters came to Hanzheng Street Dali Street clothing wholesale city, it was found that a pure cotton made clothes were hard to find.

    "Cotton," explains Shao.

    Price

    The cotton spinning enterprises are unwilling to produce, and the clothing enterprises have basically changed their chemical fiber clothes.


    Businesses that make clothes for cotton products are also very light.

    "Although cotton is cheap, we don't feel that clothes are cheap at all," she told reporters.

    In fact, the price of our purchase is still about 10%.

    This year, due to inflation and weather delays, sales are less than half of the same period last year.

    In this case, our fabric purchases and procurement prices will only continue to shrink. "


    In Taiyuan Textile City, the reporter saw the retail price of cloth has been reduced.

    "The price of cotton cloth dropped to 32 yuan from 38 yuan per kilogram last year, but the sales volume is much lower than that of last year, or even less than 1/4 of the previous period," the manager told reporters.


    For most cotton spinning enterprises, this winter is hard.

    Wuhan Jiangnan textile Limited by Share Ltd official told reporters: "now our purchase price is basically less than 19000 yuan per ton, but downstream businesses still feel low enough.

    The downstream market is bad, and they keep pressing us down.

    But in addition to raw materials, no cost is not rising.

    Labor costs rose by 2-3, and total cost increased by more than 10%.

    The lower quoted price has dropped by 15%, which is enough to make it lose everything.


    "This has eaten our profits hard, and the Maori profit of the worst breed is only 1%, which is a loss."

    The official said frankly, "about 2-3 of the lists have been cut off, especially the pure cotton products, which we have to refuse.

    Last year, the gross profit of the worst products also reached over 15%.


    Insiders told reporters that cotton textile products accounted for 7 of the total proportion of cotton textile products, while other chemical fiber fabrics accounted for 3.

    But this ratio has been reversed in recent years.


    The official told reporters: "this year, our raw material procurement quantity, polyester fiber, natural rubber and other chemical fiber fabrics accounted for more than 7, cotton procurement reduced to 3.

    Some small textile enterprises in the field have already stopped production due to gross profit, cash flow and recruitment difficulties.

    Wuhan's cotton spinning enterprises have not yet stopped production because of their large scale, but they have begun to adjust their product mix and reduce the production of cotton products.


    What worries cotton mills is that the clothing market is not showing signs of improvement. Some garment factories have even entered a semi shutdown state.


    Dini, costumes manager of artistry, said: "there are many factories in stock. In order to keep workers, we can only work for half a day and stop working for half a day.

    If business is not improving on New Year's day, we may have an early annual leave. "

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