Cotton Textile Enterprises Should Solve The Cotton Problem As Soon As Possible.
In the past 3 months, the price of Zheng cotton has been rising almost linearly, breaking through the expected price of people. Although there have been several brief pullbacks, the upward trend has not been reversed.
Since April July, the biggest increase in the main contract of zhengmian has reached 56.42%.
At the same time, the bottom price of the state storage cotton sales is also rising, which makes the textile enterprises in the lower reaches into trouble again.
At present, the amount of state cotton storage is only 20 thousand tons per day, far lower than the market expected, and cotton spinning enterprises are at low inventory level. In the short term, the market is in short supply, resulting in the rise of cotton prices and current prices.
Cotton price
The sharp rise and fall of the textile industry is huge. From the industry perspective, it is also hoped that cotton prices will remain relatively stable.
With the end of the import of cotton resources, the paction price of national cotton stores is increasing. The difficulty of purchasing has caused most enterprises to stop production and halt production, and the situation is expanding.
At the same time, the domestic commodity cotton is nearly sold out, and the competition of national cotton stores is fierce. The main reason is that the amount of delivery is too small, and the actual delivery amount is less than 40% of the national development and Reform Commission's commitment.
According to the survey, the rise in cotton prices has not only led to the problem of "intestinal obstruction" in Chinese textile enterprises, but also in the India, Pakistan, Vietnam and other countries' cotton mills. Such a high cotton price has deterred domestic cotton mills such as India and Pakistan.
Spinning enterprises
It is said that since the end of June, it has almost ceased to take orders. After the completion of the previous contract, it plans to cut down production or stop production. The excessive cotton price leads to the loss of more production and the loss of more and more stores.
Some international cotton traders reflect that the domestic textile mills have made an inquiry on the low grade cotton in 1-3 2016/17 (M, SLM, mainly spun OE10S-21S), but the excessive cotton price has seriously restricted the demand of textile enterprises. The cotton mill has recently had enough stock of gauze, and the sales of downstream enterprises have not improved.
Retail terminal
Demand is sluggish.
The rise of global cotton prices has brought a fatal blow to the entire cotton and cotton spinning industry.
Pakistan National Textile Mills Association said that the United States or cotton instead of India cotton has become the largest source of cotton imports in Pakistan.
Since the beginning of this year, Pakistan has imported 510 thousand tons of cotton, of which 425 thousand tons are India cotton.
In recent years, the rapid rise of cotton prices in India has highlighted the competitive advantages of the US cotton industry, and the US cotton is becoming the main source of Pakistan's cotton imports.
The association said that in the past half a month, India cotton prices rose 35%, higher than the international market 8-10%, the domestic textile mill procurement from India cotton to cotton.
Pakistan's industry expects that cotton production will reach more than 1 million 900 thousand tons in 2016 if yields increase and pest problems are small.
USDA expects the end of this year to stock 544 thousand tons in Pakistan, which will last two and a half months.
Although the Pakistan textile mill will not cancel the India cotton order, cotton traders may break the contract by making up the difference.
Due to the absurd rise in cotton prices, 34 cotton textile enterprises in Henan province have jointly written to the relevant departments of the state. Recently, nearly 150 cotton textile enterprises in Hubei, Hunan, Shandong, Hebei, Zhejiang, Fujian, Jiangsu, Guangdong and other places also reflected the problems in the cotton textile industry association in the form of telephone and joint letters, and hoped that the relevant departments of the state would be encouraged to solve the cotton problem in cotton textile enterprises as soon as possible so as to ensure the normal production of cotton textile enterprises.
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