Cotton Yarn Prices Continue To Rise, Enterprise Production Is Flat Month On Month

Cotton yarn prices continue to rise, enterprise production is flat month on month

——Investigation report of cotton textile enterprises (June 2021)

Project undertaking: Beijing cotton prospect information Consulting Co., Ltd

Participants: cotton textile enterprises in Xinjiang, Shandong, Hebei, Henan, Jiangsu, Zhejiang, Hubei, Anhui, Jiangxi, Shanxi, Shaanxi, Hunan and other provinces and autonomous regions

In June, the domestic textile market turned weak slightly, new orders decreased, and the inventory of finished products of most yarn mills increased slightly, but the yarn profit was still high. Under the support of cotton price, cotton yarn price continued to rise, and the business pressure of enterprises was not great. According to the survey of more than 90 designated textile enterprises by China's cotton early warning system, textile output was basically flat on a month on month basis, raw material inventory of textile enterprises decreased slightly, and yarn and cloth inventory increased.

1、 Textile output was basically flat on a month on month basis

Most of the orders received by large textile enterprises in the early stage of this month can be extended to August and September, and the orders are relatively sufficient for the time being; Small and medium-sized mill orders in half a month to 1 month. The sales of 32S and 40s are relatively fast, while the sales of other varieties are slow. The overall operating rate was relatively high, with a slight increase of 0.6% compared with the previous month and a year-on-year increase of 5.4%; Blended yarn and chemical fiber yarn accounted for 37.9%, down 0.7% compared with last month.

Cloth output decreased by 1.3% month on month and increased by 6.8% year-on-year, of which, the proportion of pure cotton cloth increased by 0.6% compared with the previous month. The yarn sales rate was 88%, down 2% from last month.

The current yarn inventory of textile enterprises is 10.27 days, up 2.15 days compared with the previous month. Grey cloth inventory was 17.45 days, 2.03 days higher than the previous month.

2、 The price of cotton yarn inside and outside is rising

The average price of domestic 32 pure cotton yarn in June was 25191 yuan / ton, 191 yuan or 0.76% higher than that of last month, and 6499 yuan or 34.8% higher than that of the same period last year; The average price of imported 32 pure cotton yarn in June was 25075 yuan / ton, which was 243 yuan or 0.98% higher than that of last month, and 6560 yuan or 35.4% higher than that of the same period last year

3、 Enterprise raw material inventory decreased slightly

Cotton prices fluctuated as a whole this month, and some textile enterprises were waiting for the issuance of sliding tax quota and relevant policies for reserved cotton rotation, resulting in a slight decrease in raw material inventory. As of June 30, textile enterprises had 844600 tons of inventory of cotton industry, which was 17800 tons lower than the end of last month, and increased by 186300 tons year on year. Among them: 29% of enterprises reduced cotton inventory, 23% increased inventory, and 48% remained basically unchanged.

The proportion of Xinjiang cotton used by textile enterprises decreased, the proportion of local cotton decreased slightly, and the proportion of imported cotton increased

1. The use of Xinjiang cotton by textile enterprises accounted for 87.15% of the total cotton consumption, with a decrease of 0.17% compared with the previous month and a decrease of 4.61% over the same period last year. Among them, Xinjiang cotton reserve accounted for 4.23% and Xinjiang cotton accounted for 95.77% in this year.

2. The proportion of local cotton used by textile enterprises was 3.29%, 0.02 percentage points lower than that of last month. Among them: Reserve real estate cotton accounted for 3.44%, and this year's real estate cotton accounted for 96.56%.

3. The proportion of imported cotton used by textile enterprises was 9.56%, an increase of 0.15 percentage points over the previous month and a year-on-year increase of 3.32 percentage points.