The large fluctuations in cotton prices have affected the voice of the textile industry

Recently, cotton futures and spot prices have risen, which has really affected the "neurality" of cotton spinning enterprises. Then, in the face of the sharp rise in cotton prices, what is the impact on the textile industry? The China National Textile Association is very concerned about this and has carried out targeted telephone interviews. He hopes to listen to the voice of home textile companies and make judgments and seek countermeasures against market trends in the coming period. Towel companies Vosges, Jie Liya, Yaguang, Jinhao, Dadong, bedding enterprises, blue silk feathers, home textile fabrics companies such as Golden Sun and other textile companies have made their own analysis and judgment.

The company’s opinions are similar due to multiple factors of rising cotton prices

Since the low cotton price in March, cotton futures and spot prices have continued to rise in the past two months, reaching a high of 16,000 yuan / ton. So, what is the reason for the price increase?

According to the analysis of the respondents, the rise in cotton prices is caused by multiple factors. First, the supply of cotton at home and abroad tends to be tight, the country's reserves are insufficient, and the demand is relatively strong, resulting in imbalance between supply and demand and even causing panic. Second, cotton production units are not willing to sell at low prices without inventory pressure. The meaning of "selling goods", "more porridge" prompted enterprises to increase the intensity of bidding; the third is not to rule out the entry of large capital into the market, and it is suspected of speculation, artificially "tightening" the market spot supply. The above analysis is the main reason for the rapid price increase.

Cotton prices have different feelings for textile companies

Cotton prices have risen, and the market is "windy and sturdy". Cotton spinning companies seem to be a little "panicked." How much influence does such a big "movement and quiet" have on home textile companies?

Some of the respondents believe that the cotton market situation is rather grim, and if they do not take positive and decisive measures, the difficulties will be aggravated. In the short term, due to the gap between supply and demand and insufficient enterprise stock, the company is in a state of "hunger."

Foreign trade-oriented enterprises emphasize that enterprises have many difficulties in order receiving, tight delivery, and competitive pressure. At present, cotton price increases further increase the difficulties and risks of enterprises, and the subsequent acquisition of new cotton processing will also occur. Bad influence.

Other companies surveyed said that in the context of rising raw materials, in order to alleviate the cost pressure to compensate for losses, upstream and downstream enterprises will inevitably adopt conditional price increases. For the time being, the upstream and downstream channels of the home textile industry have already opened up. Although the increase will not be too large, the radiation surface will not be too wide, but in a period of time, some enterprises still have to bear the cost pressure.

Most of the companies surveyed are still optimistic. They think that the situation of each company is not the same. The market will always have such fluctuations. It is very important to make market predictions and preparations. As far as Nantong home textile enterprises are concerned, some enterprises have locked the price of grey cloths into October of this year. Some enterprises generally have 2-3 months of cotton yarn inventory. In addition, most enterprises have certain finished product inventory, and consumer demand. The growth is weak, and cotton prices do not continue to rise. Some companies also predict that the hot spot will not continue to drive the spot price, the cotton price will basically reach the peak, and the fundamentals will not support the price surge. These views indicate that cotton price volatility has little effect on most home textile companies, and there is no concern about the problem of "green and yellow" before the arrival of new cotton.

Good news spreads the market to show "yin to clear"

Recently, with the news that the reserve cotton round has been postponed for one month, the cotton price gain has eased, but can the uptrend be stopped and stabilized?

The respondents said that in the recent cotton price issue, many cotton companies have put forward constructive opinions. For example, the state should suspend non-textile production enterprises to take stocks, prevent speculation to stabilize prices, and prolong the time of placing reserve cotton to increase the amount of production to ensure normal business. Production; increase the supply of high-grade cotton, ensure the quality of export products to enhance the competitiveness of the international market.

The volatility of the market and the opinions of all parties have aroused great concern from relevant state departments, associations and enterprises. The National Development and Reform Commission revealed on July 27 that it will extend the cotton rotation time until September 30. After the news came out, the cotton price market has declined somewhat recently, and the cotton market has shown a "yin to clear".

The respondents said that as long as the extension of the national reserve cotton export is implemented in January, the market supply of cotton will increase, which can basically be linked with the new market time. The market tension will be alleviated and the cotton price will be overall. Maintain a relatively stable level.

Editor in charge: Zhang Xiaoxiao