Textile raw materials "sound up" Weaving companies are suffering

February 24, 2023

Recently, the commodity market is turbulent and uneasy, and the raw materials of the textile industry are not lonely, and they have adjusted their prices. The whole industry chain is not disturbed, and the industry's ability to cope is tested in depth. The prices of raw materials such as cotton, polyester staple fiber and viscose staple fiber have all risen to varying degrees. At the same time, imported yarn is also eyeing, and the domestic market is constantly being compressed, which makes the downstream textile enterprises complain and suffer.

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According to statistics, last week, China's cotton price rose by 247 yuan / ton, an increase of 1.61%, polyester fiber prices rose by 310 yuan / ton, an increase of 4.4%, viscose prices were lowered by 350 yuan / ton, down 2.25% . These three textile raw materials, in addition to a certain degree of narrow decline in viscose, the other two have shown a "heads of leaps and bounds".

Compared with the rising prices of raw materials, the downstream mills and weaving mills seem to be a bit "incapable" for the price increase, but they have to work hard! Last week, the price of pure cotton yarn and polyester/cotton yarn in Zhejiang Qianqing market was raised. 100 yuan / ton. Since the October 18th, the Taihu Lake Shading Fabric Enterprise Group has once again increased the price of grey cloths from 0.3 yuan to 0.5 yuan. The Wenzhou Gejibu Chamber of Commerce has risen by 1,000 yuan/ton since the price of fabrics rose on August 22.

On the other hand, the sharp increase in imported yarn is also the cause of the high cotton prices in China. The Prospective Industry Research Institute has learned that

Since the beginning of November, the number of cotton yarns and polyester-cotton yarns in India, Pakistan, Vietnam and Uzbekistan, which have arrived in Hong Kong and entered the bonded warehouse, has gradually increased. The varieties are mainly C20-32S and Pakistani siro spinning C10-16S. OE yarn shipments and delivery volume have declined. India's C21S, C32S jets and rapiers are more active in pre-sales. Some traders have just boarded the ship and have signed up for sale in China.

In particular, on November 10-11, Zheng cotton CF1701 contract broke through 16,000 yuan / ton, 17,000 yuan / ton, resulting in cotton enterprises, traders on the spot price "appetite" opened, the territory of the regulatory library "double 29, double 30 "The price of cotton picking, "double 28, double 29" hand picking cotton is above 15,800 yuan / ton (gross weight), due to cost pressure and market trends, the yarn mill has raised the price of cotton yarn 200-300 yuan / ton The difference between the inner and outer yarns is widened.

The difference between the inner and outer yarns is widened, and the market orientation is naturally more influx into the cheaper side. In this regard, the mill also said that there is no help, obviously it is their own home, but they can only watch this part of the order being taken away by the foreign yarn, because the cost of raw materials is there, you can't "los the money to grab the order". Up to now, the import yarn inventory has increased to 85,000 tons, an increase of 10,000 tons from the first ten days of October.

The high cost in the eyes of economists is a sign that industrialization is maturing, and the sooner developed countries and regions face this problem. But maintaining market stability is a must for any country and any industry. Despite rising raw materials, overcapacity and sluggish consumption have forced end-consumer manufacturers to face the option of price reduction promotions. The barbaric price increase of raw materials will only reduce the downstream production enthusiasm. In the long run, it will adversely affect the later market. It is definitely not a long-term solution for sustainable development!

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