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High Cotton Price Era: The Way Of Chinese Textile Enterprises

2011/10/13 9:16:00 47

Towel Of High Cotton Price Textile Enterprise

Since the beginning of 2011, cotton prices have dropped from 33 thousand yuan per ton to 22 thousand yuan, with a fluctuating range of nearly 40%.

The era of high cotton prices has arrived. Chinese textile enterprises have become more sensitive with the storm that has been going on for more than a year. Price control, understanding of downstream demand and strengthening of technological reform have become their must kill skills to deal with market changes.

In October 12th,

Cotton market

During the sharp fluctuations in the year, Gu Hong, vice chairman of Guoxin home textiles (a wholly owned subsidiary of Hejian Rural Technical Services Association), said that cotton prices in 2010 had deviated from the actual price of cotton, and showed a financial attribute.

Today, cotton prices are returning to their commodity attributes. But before the ups and downs, cotton growers and enterprises themselves are slowly forming a market awareness, and everyone is more and more sensitive to price.

That is, how to sell cotton at a reasonable price, that is, at what price the price should be sold, and how to keep it at a low price.

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For the production of textile enterprises, Niu Rutao, deputy general manager of Zibo Lanyan Group Co Ltd, admitted that at present, the on-the-spot research shows that the consumption demand of the market is not strong in the second half of this year to the beginning of next year.

When the price of cotton broke through 30 thousand yuan / ton in 2010, the textile industry developed very well, and at the current price of 20 thousand yuan / ton, the market did not do well.

This also confirms that the cotton price is not completely corresponding to the production and operation status of textile enterprises. It is obvious that the cotton price is ultimately determined by terminal demand.

Beijing cotton field

textile

Ma Tao, general manager of the limited company, said that in the era of high cotton prices, enterprises need to constantly innovate in technology to deal with existing market risks.

For example, a 180g towel, the company changed into 150g through technical innovation, on the one hand control of production costs, on the other hand, the towel feel, fluffiness is not affected.

In other words, improving the technology content and reducing the cost is the most important strategy to avoid the risk of price rise.

In October 11th, Gao Fang, vice president of China Cotton Association, said that in the past year,

Raw material

High costs, rising labor prices, expectations of RMB appreciation and complex economic situation both at home and abroad have left cotton prices at a low price.

Gao Fang made the above statement at the launching ceremony of China Cotton Association's "China cotton" licensing enterprise.

It is understood that the "China cotton" logo will be used in the first batch of a total of four enterprises, Zibo Lanyan Group Co Ltd, Beijing cotton field Textiles Co., Ltd., Hejian Guoxin Rural Technology Service Association, Shandong Xin Qiu Seed Industry Technology Co., Ltd. and so on, and so on, have obtained the use of "China cotton" logo.

Gao Fang, China Cotton Association, said that the next step is to upgrade and brand the Chinese cotton industry.