Henan Huixian Textile Enterprises Optimistic About Rising Cotton Prices

Huixian as Henan

The gathering area of industry has exploited its own advantages and created its own foothold.

The reporter carried out field research on local textile enterprises, and found that

Inventory,

Sales and business have shown strong strength, while local enterprises are optimistic about cotton, and think that the cotton price will exceed 18600 yuan / ton in the future.

Among the many textile industrial parks visited by reporters in Henan, only Huixian textile enterprises have predicted such a high price for cotton prices. Why? It is reported that in recent years, Huixian has promoted the development advantages of Huixian textile industry, extended the textile industry chain, and has constructed a number of items, such as home textiles, high count cotton yarn, large cotton cloth, and annual processing and production of 4 million sets of garment production.

At present, the production scale of textile and garment industry is 1 million 100 thousand spindles, and 23 affiliated enterprises. A textile industrial cluster with textile, weaving, printing, dyeing and blending has been initially formed, and its main business income is nearly ten billion yuan.

The textile industry in China has been in a low ebb period. The textile enterprises in Huixian have encountered difficulties in varying degrees. However, they have withstood the cold current of the industry by virtue of their superior industrial foundation and financial strength.

A local scale enterprise of 50 thousand spindles said that the production situation of the company was good, even though it was all started, it still could not satisfy the sale of downstream cotton yarn.

In order to maintain production and lower inventory costs, the early stage enterprises actively bid for cotton reserves.

Up to now, the amount of cotton auction has nearly 3000 tons, enough for half a year.

At present, there is a concussion in the price of cotton reserves. At the present stage, the auction is temporarily suspended, waiting for the market to return to stability.

The company said the reason why cotton is bullish is the imbalance between supply and demand in the future. This year, the domestic cotton production reduction is a foregone conclusion. In the 2016 year, the cotton market gap can only be replenish by reserve cotton.

In addition, cotton prices continue to rise this year, driving the sale of cotton yarn, although some of Huixian's textile enterprises are fully operational, but the product is still no inventory, basically done, namely the production is ready to sell.

According to the current situation, it is expected that the next two to three years of cotton prices or will break through 18600 yuan / ton.