New Cotton Prices Fluctuate Frequently, And The Pure Cotton Yarn Market Lacks Confidence. Will The Textile Market Even Worse?

Since the beginning of this year, we have been talking about this year's textile market, which is "buoyant season" and "off-season ahead". We always feel that we have gone through the "endless" peak season and received soft orders.

But have you ever thought that there will be 75 days in 2020, which may be the peak of textile market this year, and the situation behind it will be even worse!

New cotton prices fluctuate frequently

In recent days, cotton mills have been competing with each other for a long time. Cotton mills and oil and cotton processing plants have been cautious. In order to avoid risks, manufacturers in various parts of Shandong have frequently adjusted their prices of raw materials and products according to the actual market situation. The price of seed cotton and lint has fluctuated, and the market turbulence is difficult.

The survey was informed that Shandong seed cotton purchase price rise and fall frequently adjusted, the adjustment range was 0.03-0.10 yuan / Jin, lint adjustment range was 100-200 yuan / ton. Among them, the current purchase price of Shandong Jining Jiaxiang area is 2.95-3.00 yuan / Jin, after the festival rises first and then falls; the four level lint factory price is 12200-12300 yuan / ton (big bag, take the ticket), after the festival presents the stable rising situation, the increase rate is 100-200 yuan / ton.

Shandong Liaocheng region seed cotton purchase price at 3.05 yuan / jin (about 40%), after the festival rose first and then fell, the adjustment range in 0.05-0.10 yuan / Jin, three lint factory price 12400 yuan / ton, (big bag, with tickets), after the first rise and then stable, the increase of 200 yuan / ton. In other parts of Shandong, seed cotton and lint have also maintained frequent price adjustments.

Zheng cotton prices are weak.

Thanks to the good news of Sino US trade, Zheng cotton futures rose steadily and rushed to 12830 yuan / tonne on Monday, supporting the spot lint market.

In October 17th, the main contract of zhengmian CF2001 was adjusted between 12420-12720 yuan / ton in the morning, and the strength of the rebound weakened.

At present, the stock pressure of Xinjiang's lint cotton is relatively large, the downstream textile industry has been slow to recover, and the spot lint sale is still not ideal. Most of the orders are processed by orders, and the textile factories insist on the strategy of purchasing with the purchase. The cotton market is still in excess of demand, restricting the cotton market and rising slowly.

Lack of confidence in pure cotton yarn Market

The overall market sentiment of pure cotton yarn has continued to move forward. There has been no obvious change. The overall price stability of cotton yarns has been partially stabilized, such as the low price in the early stage of Jiangsu area, and the price rise in other markets is more difficult. It is reported that the downstream textile mills have gone through the market, and some local factories have been selling at a low price.

Now the main stream of OEC21S jet quality is 16000-16500 yuan / ton, high C32S with a ticket arrived 20500 yuan / ton, high C40S C40S tickets arrived 21000-21500 yuan / ton, JC40S arrived near 24000 yuan / ton.

Polyester market is not satisfactory.

At present, the polyester market is in a general trend of shock and decline. In addition, in the traditional "Kim Gu" peak season, the downstream weaving start up rate is decreasing, and the industry is pessimistic.

October has reached the middle of the year, but the downstream centralized stock is still missing. Eleven after the long holiday, the total number of stocks in the industry is increasing gradually, and the production and marketing are not going to go. At present, the stock of polyester factory is in 10-20 days, and some products are on the high side.

With the end of foreign trade Christmas orders and double eleven and two dozen orders, there is still room for improvement in the fourth quarter.

The industry has excess capacity, and few people have enough money.

Since the pressure of environmental protection increased in 2017, there has been an upsurge in the movement of looms from the coastal areas of Jiangsu and Zhejiang to the inland areas of the central and western regions of Jiangsu and Zhejiang provinces. It is understood that before the news that Jiangsu and Zhejiang provinces have nearly 120000 looms loom away, the transfer of water loom production capacity has exceeded 200 thousand units.

At the same time, in the newly put into operation area, enterprises not only transferred old looms to suitable low-cost production bases, but also invested in new looms and expanded production scale in new bases. The current situation of the industry makes the downstream textile market capacity concentrated in the second half of this year, and there may be more in the future.

That is to say, the current situation of the textile industry is not only bad in the past few years, but also in the poorer future.

Weaving mills and dyeing mills are increasingly operating under pressure.

Whoever does the textile industry, as long as I hear who owns a factory, the first reaction is that the company is sure to "make money and get rich". Actually, it was true for the first two years, but now different days ago, the weaving factories and dyeing factories are producing tears every day.

According to the monitoring of sample weaving enterprises, the inventory of grey cloth in Shengze has been up to more than 40 days. The lack of terminal trade orders has made weaving factories "miserable". Fortunately, the price of raw materials has been downwards, which has diluted some production costs and made it possible for weaving factories to sell prices.

But the raw materials are not "Bodhisattva", nor can it always be "in the snow".

At present, the price of raw materials is at a low level in history. It is only a matter of time before we enter the upstream channel. At that time, shutting down might be the best choice for high inventory weaving factories.

As the "oligarch" of the textile industry, the dyeing factory is affected by environmental protection policies and so on. The number of Jiangsu and Zhejiang provinces will only decrease.

In principle, it should be in an absolute "supply less than" position, firmly grasp the price of the right to speak, but this year's situation so that all dyeing factory owners are somewhat confused, dye is not dare to rise, even if the dye costs more than careful price.

We can think about it rationally: the weakening of the economic environment, the decline of the factory operating rate, and the low price of the market. It seems that the future will be more cruel than it is now. But it is difficult for everyone to believe that you are difficult. It is not an individual phenomenon. It is a common phenomenon in the big environment.

But the peak season will not come again. The answer is yes, but the night before dawn is very hard. Many companies and factories do not necessarily insist on that day, while the remaining few continue to divide the original "cake".

In any case, "silver ten" is following up, the downstream market orders can further improve? Does the market take advantage of the situation? Textile people should have some expectations.

At present, textile enterprises should actively explore diversified markets, improve the range of their products, strengthen quality management, fully tap the market space of domestic demand, stimulate the terminal consumption market with domestic demand, digest the inventory of each process, layout the industrial chain in a long-term perspective, make full use of preferential investment policies, increase revenue and reduce expenditure, and strive for growth in the slit. I believe that opportunities will be left to those who are prepared.

Source: China's cotton nets, chemical fiber sinks, cloth factories and networks