Competitiveness Of Cotton Textile Industry Can Enhance Competitiveness

With the weakening of import yarn price advantage, the advantage of domestic yarn is becoming more and more obvious.

A textile trade professional in Nantong, Jiangsu, said that domestic cotton textile enterprises can rely on policy advantages and cost advantages of raw materials to make a comeback in the market competition with imported yarn.

He said that now imported yarn has no obvious advantages, and the future domestic yarn will be better.

During the temporary storage, the cost of imported yarn is much lower than that of domestic yarn, and the price elasticity is large.

Now, because the policy effect has played a role, this situation has undergone fundamental changes.

Prices have been priced according to similar imports.

In addition to the cost of cotton, the domestic

The advantages of the Xinjiang yarn are rising and the price is more attractive.

In 2015, the state promulgated relevant policies to support the development of Xinjiang's textile industry, investing in textile enterprises in Xinjiang, half of the electricity tariff in the mainland, reducing taxes and fees, low labor costs, exporting cotton yarn and pporting subsidies, thus greatly reducing the cost of cotton yarn production.

At present, the cost of conventional pure cotton yarn produced in Xinjiang can be saved by 3000 yuan / ton. The advantage is very obvious, and it can directly compete with imported cotton yarn.

Apart from the advantages of price, the obvious advantage of domestic yarn is that the production process is better than foreign manufacturers. The product has good consistency, stable quality and perfect after-sales service.

Wang Gong, general manager of Huamao textile Limited by Share Ltd, thinks that Xinjiang yarn will play a great role in resisting imported yarn.

Domestic cotton prices are decreasing and cotton textile industry competitiveness is enhanced. So, can domestic yarn win the market? Can the competitiveness of the international market be improved? Most enterprises believe that the rotation of domestic cotton reserves has increased the selectivity of raw materials for textile enterprises, and the decline of cotton prices has directly reduced the cost of domestic cotton spinning enterprises and reduced the price gap with imported yarns.

On the basis of a little change in the price of outer cotton and outer yarns, to some extent, it can increase the return of some domestic orders, which is conducive to the export of cotton and cotton yarn in the country and increasing the share of the international market.

However, some enterprises believe that the short-term impact on the market will not be clear in the long run.

Some enterprises worry that the key to the survival of the cotton textile industry lies in the downstream market.

Now the market confidence is generally insufficient, and the domestic reserve cotton prices decline, it is very likely that the price of foreign cotton and cotton yarn has dropped. Then, domestic cotton and cotton yarn will be more difficult to inventory. If the new balance is achieved, domestic cotton enterprises and textile enterprises will hardly bear the low price of the new balance, and the enterprises will fall into a more hostile competition environment.