Anhui: Cotton Yarn Warehouse Exists Low, Downstream Orders Should Be Carefully Received
National cotton market monitoring system Anhui monitoring station news, recently, Anhui monitoring station on a number of different scales of cotton textile enterprises in Anhui Province on the spot. The survey results show that since the end of October, cotton yarn inventory of local cotton spinning mills is basically in low inventory, while many enterprises are cautious in receiving orders for downstream orders.
It is understood that before the National Day holiday, most cotton spinning mills have relatively high cotton yarn inventory, less than one month, more than two months of production. Cotton yarn inventory is at a high level, which brings great pressure to capital turnover, but after the long holiday, cotton and cotton yarn futures prices skyrocketed, which brings a great opportunity for cotton textile enterprises to de stock. Although some enterprises have not achieved much profit, most enterprises have achieved the goal of de stocking and withdrawing funds. At present, both large and small factories, whether pure cotton yarn or polyester cotton yarn, product inventory is generally low, some factories even reach zero inventory.
Up to now, the local textile enterprises have been operating well. On the one hand, cotton mills are not worried about sales, and there is no pressure on product inventory; on the other hand, downstream orders are constantly flowing. However, due to the uncertainty of cotton price in the later stage, most cotton mills sign orders cautiously, and choose the order that is sure to be profitable according to the actual lint inventory, cotton purchase cost, profit target and other factors.
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