Weaving Market Continues To Pressurize In The Off-Season

In the past month, domestic cotton spot prices have fluctuated slightly, the market just needs procurement, the yarn market is showing signs of further deterioration, the combed yarn is not performing well, the conventional yarns are slightly weaker, and the gray fabric market is more vulnerable.

　　 1. Raw material Market

In June, domestic and foreign cotton prices fluctuated slightly, and the overall trend was relatively stable. In June 28th, domestic 3128B cotton prices were quoted at 12090 yuan / ton, which was basically the same as that of the same period last month. The current raw material inventory of textile enterprises is relatively low, but the willingness to purchase is lower than that in May. It is still dominated by rigid demand procurement, and about 80% of the raw material inventory of the investigation enterprises is maintained for about 1 months.

The market of cotton yarn has gone further, and the spinning enterprises have insufficient overall orders, strong willingness to ship, and partial price drops slightly. Among them, the overall demand for rotor spinning is weak, and enterprises are selling goods at a lower price but still unsatisfactory. The speed of sales of conventional yarn products has also slowed down, especially that of combed pure cotton yarn. The sales of high count yarn have improved slightly, and local export orders have increased a little. Judging from the survey of enterprises, about 80% of the enterprises' yarn stock is about 1 months, a slight increase in the same period last month, and the trend of further increase in the latter part of the year.

2. Weaving Market

In June, the export orders in weaving market increased slightly, and the market enquiry increased, but the price was weak. The domestic market situation was weaker than that in May. The competition for orders was fierce, and there were more enterprises on the Dragon Boat Festival holiday. The start up rate of weaving enterprises has declined, and the overall maintenance rate is about 50%. In terms of inventory, although the start-up rate of the enterprises has been lowered, the market turnover has continued to weaken, and the stock level has increased slightly. 85% of the survey enterprises have been in the warehouse for about 1 months, increasing from the same period last month, and the market weakness is more obvious.

Orders will be reduced, enterprises will reduce prices, sales prices will be more negotiable, and capital pressure will continue to increase. According to the market, the market order in Nantong in June has not changed significantly, the market quotation of grey cloth is chaotic, the actual turnover is not ideal, the order of printing and dyeing enterprises is insufficient, and the production is maintained; the domestic orders of the Lanxi market have been ordered in succession, some enterprises have begun to produce regular varieties, and the quotation of products has been reduced.

3, outlook for the future

The shortage of orders is still the biggest problem for enterprises. With the coming of July, the atmosphere of the off-season market will continue to deepen, overlay the impact of the epidemic, and the order situation is very severe. It is expected that without the other favorable factors, the weaving market will remain weak. Faced with the grim situation of increasing capital pressure, enterprises appeal to relevant financial institutions to give certain grace to the time limit for repayment of enterprises, so as to prevent enterprises from breaking faith and further increasing the business burden of enterprises.

The above contents are from a sample survey of weaving enterprises for reference only.