Foreign Trade Orders Pick Up Before Enterprises Load

In the middle of 2020, it has already entered the first half of August. Affected by the new epidemic situation at home and abroad, the textile industry has been in a downturn. Orders for medium and high-end cotton yarn products are decreasing day by day, and the textile production capacity is gradually transferred to low and medium yarn count, and the competition in the domestic textile industry is intensifying. At the same time, since July, the port bonded and customs clearance cotton yarn has been in a slow rise state of "more in, less out", which is even worse for the domestic textile industry.

It is understood that many cotton textile enterprises led by Guanxing group in Liaocheng, Shandong Province, bear the social responsibility of large labor force and heavy burden while bearing the market sales pressure. However, they have not been overwhelmed by difficulties, and have taken various ways to resolve the risks. They have not stopped a spindle, not taken a day's leave, and have not reduced the wages of workers by one cent, which has become the industry under the epidemic situation The best.

Since July, international cotton futures and Zheng cotton futures have been in the trend of shock and rise. On August 7, ice futures contract in December was 64.85 cents / pound, and Zheng Mian CF2009 contract rose to 12525 yuan / ton, setting a new high in the near future. At the same time, the increase of freight rates in Xinjiang has also increased the cost of cotton going out of Xinjiang. Cotton and spot increased by about 200 yuan / ton, but the price of yarn was difficult to rise. The increase of cotton blending cost and the low price of downstream products constitute a new contradiction in textile enterprises.

July to August is the high temperature and humidity season in northern China, so the work in the workshop is particularly difficult to do. Cotton with a little more sugar is easy to wrap the roller, affecting the quality of the product, but also reducing the yield. If the enterprise does sugar removal, it will increase a cost. Purchasing raw materials with less sugar reduces the purchasing area, which also brings deep confusion to the production of enterprises.

"Sunshine is always after the wind and rain", although enterprises are facing many difficulties, they are still struggling to find solutions and strive to break through the cocoon. The timely rotation of national reserve cotton not only stabilizes the price of cotton, but also eases the anxiety of textile enterprises. In the aspect of raw material inventory, enterprises still keep to the minimum under the premise of ensuring product quality, so as to realize the "short and fast" from raw material procurement to product sales. Enterprises also improve the product quality to increase the market competitiveness of products, improve management efficiency, reduce unnecessary investment, strictly do a good job in docking with the terminal brand, reduce the intermediate links of products, and implement the measures of fair price sales to ensure the maximization of the benefits of related varieties.

Since August, with the gradual control of the epidemic situation, foreign trade procurement in some countries has gradually recovered, and foreign trade orders of enterprises have rebounded, and the yarn orders are in the middle and high end. This warming phenomenon not only reduces the competitive pressure of domestic enterprises, but also significantly increases the digestion of high-quality Xinjiang cotton, realizing a virtuous cycle of high-end raw materials and products.

The raw materials are rising day by day, and the rainfall is continuous. The enterprise is carrying heavy load and looking forward to the textile spring. "Gold nine silver ten" is an inflection point for the recovery of China's traditional textile market. In the future, with the gradual disappearance of overseas epidemic situation, the alleviation of Sino US trade disputes, the implementation of relevant preferential policies for textile enterprises and the perseverance of textile enterprises, the spring of textile industry will surely come ahead of time.