Cotton slow-moving price shrinks, autumn and winter cotton clothing prices soar

Since March of this year, due to the "abandoned cotton" of many textile companies, the demand for cotton yarn has been drastically reduced, and the price of cotton has also drastically dropped. According to the latest data, Xinjiang's third-tier cotton prices are priced at around 20,000 yuan/ton, which has fallen by more than 13,000 yuan compared with the highest price of last year. Obviously, according to the normal logical reasoning, the reduction in the price of cotton raw materials will inevitably lead to a reduction in the production costs of cotton fabrics, so the price of pure cotton textiles sold in the market should also be reduced. However, reality is not the case. After the National Day falls in autumn, it is not difficult for the attentive consumers to find that the price of most brands of pure cotton products not only has not decreased, but has obviously risen.

Many consumers are deeply puzzled by this and call the reporter to solve it. With questions from consumers, the reporter recently visited the textile and clothing market.

The price of unsalable cotton has shrunk by almost 40%. In autumn and winter, cotton clothing sings a price increase to enter songs in October. Many consumers buy autumn and winter clothing and find that this year's fall and winter clothes are marked with the words “pure cotton products”. Quietly rising. According to data from the price department statistics, compared with the same period in 2010, the price of cotton autumn and winter equipment in 2011 generally rose about 10% to 20%. When the reporter visited the hotel, it was discovered that many consumers were feeling empathy. It is difficult to buy large cotton winter clothes that are less than 1,000 yuan on the market.

However, in stark contrast to this, the price of cotton, the raw material for cotton products, has continued to fall. According to the latest statistics, unlike last year's cotton price hike, the China Cotton Price Index has been continuing since March this year when the Chinese cotton price index reached the highest value in the same period in 10 years – a price of 31,241 yuan per ton. Fell. According to the data, the price of cotton in the China Cotton Index (CCIndex 328) on August 4 was 19,716 yuan per ton, which was a year-on-year drop of 84 yuan. Not only it has fallen below the new year's record of 19,800 yuan/ton for the new year, but also Compared with March of this year, the drop reached 36.9%.

“From the perspective of the current market for textiles and clothing, it can be said that the prices of raw materials for cotton products are declining every day. However, the newly-installed cotton autumn and winter clothes sold on the market have not been reduced in price and have not been discounted. This compares with our brand last year. The price has also risen by nearly 20%.” On the morning of October 22, when the reporter visited the clothing market of South Street in Yantai City, he interviewed the sales staff of a brand clothing store about the current situation of rising prices of pure cotton products. For this problem, the explanation given by the salesperson is that for branded apparel, the market sales price of apparel cannot be measured simply by the production cost of raw materials, and the added value of products is more created and guaranteed by the brand and quality. The fluctuation of raw materials has little effect on it.

“Although the price of cotton as a raw material for cotton apparel products has fallen, but in the current market economy environment, the increase in labor costs, the appreciation of ***, the increase in interest rates, etc., these indisputable facts are placed in front of the company, not only affecting The international competitiveness of textile enterprises has also increased the operating costs of enterprises, so it is said that in the face of intricate market factors, the price of raw materials is only one factor that affects the cost of clothing, not all of them. It is not surprising that the price of cotton apparel is rising.” On the afternoon of October 22, the reporter called the relevant person in charge of a well-known clothing manufacturer in Zhengzhou and conducted an interview on the current situation of the increase in the price of cotton clothing. The answers obtained are similar to those explained above for the salesperson in the cotton fabric market.

Consumers and textile companies both "discard cotton"

In fact, under the condition that the price of cotton continued to fall, it was not the combination of brand effects and added value that caused the sales price of the well-known branded cotton apparel market to increase. The reporter visited the three-station market in Yantai City, where clothing wholesale was the main focus. Both the large-scale wholesale outlets and the individual clothing stores found that the prices of cotton-related cotton products, such as bed sheets, duvet covers, and fabrics, were all of the products they operated. There have been different degrees of increase. In a clothing stall on the second floor of a mall in the market, a reporter asked that even ordinary white cotton fabrics rose by about 5 yuan per meter compared with last year. A boss who runs a cloth business told reporters that the cost of clothes is now increasing. Many loyal customers of cotton products came to pick cloths, and once they heard the price increase, they had no choice but to give up.

For textile companies, the price of cotton has been continuously rising from the previous time, and now it is rolling steadily, and the related cotton products and textile companies have really experienced the ice and weather. Since the beginning of this year, the demand for cotton yarn has been drastically reduced, and the cotton price has been greatly reduced. However, it has not attracted a large number of textile enterprises to purchase raw materials such as cotton. On the contrary, many companies have chosen “abandoning cotton”. On the one hand, because the highest price of cotton yarn last year reached about 40,000 yuan per ton, many merchants stored cotton last year and are now out of money to do it, so many clothing manufacturers really "meat pain" a loss. In addition, in the face of the unpredictable market operating environment, many domestic companies have begun to target exports in order to survive. Therefore, during the National Day, China's export-oriented textile companies are more active in replenishment. According to statistics from China Customs, in September 2011, China exported 253,700 tons of cotton, an increase of 45,700 tons over the previous month, an increase of 22.07%; an increase of 51,900 tons, an increase of 25.9%. However, in response to this, many foreign textile companies are under pressure from economic instability and cost, they have started to reduce and slow down the pace of cotton procurement, and the trend of overseas orders has become more apparent. According to a survey conducted by the Ministry of Industry and Information Technology of China, the number of cotton products imported from the United States decreased by 6.1% year-on-year from January to May, of which, the number of cotton products imported from China decreased by 13.4%, and the number of cotton products imported from Vietnam, Bangladesh and Indonesia increased by 9.4% and 9.1 respectively. % and 10.1%. The Ministry of Agriculture (USDA) expects US cotton imports to be 3.33 million tons this year, the lowest since January 2000. It can be said that the situation of the reduction of orders has not eased, and the amount of liquidity is not much. Naturally, there will not be too many incoming raw materials. Some companies have even chosen to “reject cotton” in order to reduce losses.

On the Other hand, for the domestic cotton products and textile companies, although the current prices are basically acceptable, the weak market does not dare to purchase too much due to prudence, and can only be used with the use of the main purchase, doping "chemical fiber "The ratio of raw materials continues to increase. Coupled with the previous rise and rise in cotton raw materials forced many companies to reduce the demand for cotton content. At present, some textile industries, especially some foreign trade enterprises, now receive mostly orders for cotton blended fabrics, chemical fiber fabrics, etc., and less and less pure cotton. The most used T-shirts for cotton are gradually replaced with rayon or cotton-polyester blends, which can reduce the cost.

It can be said that at present half of the domestic small and medium-sized textile enterprises are active and half of the forced “abandoning cotton” phenomenon has become an indisputable fact.

** “Remote Control” cotton price rise sellers are also victims “Because the cycles of clothing production and sales are not synchronized, even if the price of cotton is reduced again, the price of clothing will not fall. This is actually the reason why cotton prices have fallen. We also If you do not make much money, the main purchase price will be very expensive. This kind of brain price increases, fewer people buy, there is a lot of pressure for us." For the general price of cotton clothing products, some clothing dealers say Their opinion. A children's clothing dealer explained that “normal autumn and winter clothes were produced as early as the beginning of spring and summer, when cotton prices soared in March, which led to the current increase in the price of clothes. Now manufacturers are already producing next year. In the spring and summer seasons, clothing in spring and summer may fall slightly next year. The current low cotton price may affect the price of clothes in the next season. Such a cycle is generally six months." With the high price of cotton in most companies in stock Batches of autumn and winter clothes were used up. Some industry insiders predicted that prices will drop in spring or next year, and the price cuts will be around 30%.

In addition, experts in the price department analyzed that the price of cotton winter clothing generally rose. In addition to the volatility of cotton price itself, the apparel industry has an overall price adjustment trend. They are also facing labor costs, transportation costs, and rental increases at store counters. Situation, moderate price adjustment is understandable. In addition, it should also be pointed out that some of the "fried **" major shareholders manipulate cotton prices, vicious sell-off is one of the incentives for this winter cotton prices rise.

Fortunately, the central government quickly adopted a policy of subsidizing beneficial farming against the current situation of the plunge in cotton prices.

Taking Shaanxi as an example, the Agricultural Bank of China allocated 280 million yuan to support the acquisition of new cotton in Shaanxi in 2011, assisting the local regulators to make early acquisition predictions, helping the retail investors to actively raise the acquisition funds, and ensuring that the cotton purchase credit funds are timely, full, stable, and Order supply. Ensure that cotton farmers “take cotton and hand money” and protect the fundamental interests of the cotton farmers. Up to now, 280 million yuan of cotton purchase funds have been fully funded. Moreover, industry analysts have analyzed that with the advent of winter, the traditional peak season of cotton is coming soon. These factors have a positive effect on cotton prices, so the possibility of cotton prices continuing to fall sharply is relatively small. Therefore, many people in the apparel industry are currently hoping for a national purchasing and storage plan for the new year. As long as the country's policies are in place, the decline in cotton prices is expected to rebound. As a result, the apparel market will end in the embarrassing situation.