Environmental Instability To Reduce Industry Expectations

In December 26th, the China Cotton Textile Industry Association held a forum on the economic operation of cotton textile in Beijing.

Wang Tiankai, vice president and Secretary General Gao Yong, vice chairman Xu Wenying, assistant chairman Yang Shi bin and director of Industry Department Sun Huaibin of the China Textile Industry Federation attended the meeting.

Responsible persons from the NDRC, the Ministry of industry and commerce, the Ministry of agriculture, the China Cotton Association, the central cotton storage management company, the China cotton storage information center, the national cotton trading market and other departments and agencies attended the meeting.

The representatives of 24 key cotton textile enterprises such as Anhui Huamao, Shandong Lu Tai, YOUNGOR daily textile and Jiangsu Yue Da exchanged the operation of the enterprises in 2011, and analyzed and predicted the market situation in 2012.

Current situation

In 2011,

For the difficulties faced by many enterprises, many enterprises indicated that they should work hard, strengthen internal management, adjust product mix, and take measures to reduce employment, reduce consumption and increase added value of products.

Situation

In 2011, the cotton textile industry experienced the baptism of the ups and downs of the market, but the overall operation remained stable.

Data show that 1~11 months, China's yarn production totaled 26 million 319 thousand tons, an increase of 12.46% over the same period, and cloth production of 56 billion 700 million meters, an increase of 13.25% over the same period last year.

The cotton textile industry association of China has conducted a survey of the 1~11 production and marketing situation of 90 cotton textile enterprises in the country. The survey showed that the yarn production of the investigated enterprises decreased by 8.55% compared with the same period last year, raw material inventories decreased by 15.8% compared with the same period last year, and yarn inventories increased by 57% compared with the same period last year, while cloth inventories increased by 41% over the same period last year.

At present, the price of international cotton yarn is lower than that of domestic cotton yarn, resulting in a decrease in export volume.

Research shows that large enterprises are actively coping with difficulties, the overall situation is good, and have played a stabilizing role; small and medium-sized enterprises have encountered great difficulties, and there has been a reduction in production and production.

Call for

The cotton temporary purchase and storage policy, which was launched this year, has played an important role in stabilizing cotton prices. We all call on relevant departments to continue to take effective measures to stabilize the cotton market.

For the cotton textile enterprises, the delegates also appealed again to reduce the burden of tax burden.

The representatives of the enterprises also put forward opinions and suggestions on the issue of the quota of imported cotton.

Future

Most enterprises are not optimistic about the future market situation.

Wang Tiankai believes that there is indeed downward pressure. Enterprises should not only make good preparations for dealing with difficulties, but also establish confidence, strengthen internal management and upgrade the level of technology.

Many business representatives expect that the market will improve in the second half of next year or 2013.

Many business representatives think that the industry will enter the shuffle stage in the next stage.

Suggestion

Wang Tiankai said that the huge fluctuation of cotton price has great influence on enterprises.

From the statistical data, the operation of the industry basically remained stable in 2011, but there was an obvious characteristic that the growth rate fell by the month by month, which should be fully vigilant.

At present, the difference between domestic and foreign cotton prices has greatly affected the export of enterprises.

He believes that fair competition environment is conducive to the development of the industry, and domestic cotton prices should be in line with international standards.

He suggested that the departments concerned should carry out cotton planting direct subsidy in the cotton producing areas of Xinjiang.

Wang Wei, deputy director of the consumer goods division of the Ministry of industry and commerce, said that although the difficulties can not be ignored, enterprises should maintain confidence.

According to his disclosure, the relevant policies will be tilted to the real economy in 2012, and the state will provide financial support for technological pformation of textile enterprises, and the financing environment is expected to improve.

Xu Wenying believes that the era of high cost has arrived. The cost of labor has risen by 15%~20% this year.

At present, domestic cotton prices are higher than international cotton prices, forcing export products to increase their added value.

Now, the export of cotton textiles has shown a trend of decreasing in quantity and rising in price.