Interview With Liu Yaping, Vice President Of China'S Textile Industry Association

Liu Yaping: resolutely resist speculation of flax raw materials

The twenty-first meeting of Chinese linen salon was held in Beihai guesthouse recently in Mount Huangshan.

The conference was hosted by Tongling Huayuan Ma Ye Co., Ltd., and the head of 7 flax enterprises in China, as well as the Foreign Flax supplier and the head of the French VIVALIN/TEX NORD company were invited to attend the meeting.

The conference exchanged and discussed the development trend of flax market and flax raw materials.

To further understand the contents of this conference, the reporter interviewed China.

Self organizing Sharon to analyze industry situation

Reporter: please introduce the general situation of China's Linen salon.

What role does China's Linen salon play in the development of enterprises and industries?

Liu Yaping: China's Linen salon is a form of voluntary exchange between the family members of the linen production industry and the same industry. It has no relevant organizations and organizations and core enterprises. It only takes flexible time to take part in the wheel value of linen salon according to the situation of the industry. It aims to exchange and analyze the industry situation and discuss issues of common concern at regular intervals.

The Chinese linen salon has been held 21 times since 2008.

Through the convening of linen salon and hemp textile enterprises, we can get first-hand industry information, such as flax raw materials, linen gauze Market Dynamics and other related information.

Linen salon provides a platform for people in the industry to exchange information, promote communication and share resources.

Reporter: what background is this salon held, what is its theme?

Liu Yaping: at present, the inflationary pressure of the global economy has not changed significantly. In addition, under the influence of the Japanese earthquake, the uncertainties in the development of the world economy have increased, and the overall economy has been declining.

Linen textile enterprises are also facing such unfavorable situations as financing difficulties, recruitment difficulties and insufficient domestic demand.

Plus this year's Linen planting in Europe, due to the impact of climate, production is a foregone conclusion.

In order to prevent the price of flax raw materials from rising and falling and hurting the whole Linen Industry and upstream and downstream enterprises, we promptly convened this salon, and set the theme of this salon conference as "analyzing flax raw materials, enhancing communication, forming a consensus and responding positively".

Supply and demand of raw materials are still good.

Reporter: what is the trend of supply and demand of flax raw materials?

Liu Yaping: the conference predicted that the supply and demand of flax raw materials could basically be balanced in 2011.

According to information from Europe, the planting area of flax materials in Europe is 75 thousand hectares this year, an increase of 12% over the same period last year.

Due to drought, the length of hemp produced in some areas is insufficient, and fiber splitting, strength and color will also be affected.

Therefore, it is an indisputable fact that the quality of flax raw materials has declined and output has been cut down this year.

If the domestic flax enterprises are fully open, the annual demand for flax raw materials is 100 thousand ~ 120 thousand tons, and the total amount of the year can not meet the needs of domestic enterprises.

However, Europe has 30 thousand tons of stock in 2010 and 40 thousand tons in other years.

According to incomplete statistics, there are 60 thousand tons of hemp in China.

Over the past year, the inventory plus the harvest this year is estimated to be 180 thousand to 200 thousand tons in 2011.

In this sense, there is no obvious gap in total supply, and supply and demand are balanced.

Reporter:

Liu Yaping: at present, the supply and demand of flax raw materials are balanced, but the price of raw materials is disturbing. 24N raw materials have already reported a price of US $3.1 / kg or more, up 80% compared with the same period last year.

This price is unbearable for our flax production enterprises, because the downstream enterprises can not accept the product prices which are rising year by year, which will make the production and operation of enterprises difficult.

It is worth mentioning that the reasons for the rising price of raw materials are not only affected by the price, but also related to the price speculation and hoarding raw materials of domestic hot money and enterprises outside the industry. As a result of a large amount of funds buying and hoarding flax in Europe, it has caused wrong signals to European suppliers that the market is very good, and the demand for flax raw materials has increased. The sale of two years old hemp and other foreign linen prices has increased over the years, and stockpiling raw material traders have been stockpiling goods, resulting in tight supply and demand. Finally, the price of flax materials is sold to manufacturing enterprises, resulting in a chaotic price of flax raw materials.

As the reduction of production this year is a foregone conclusion, the participating enterprises agreed that the reasonable rise in prices of flax raw materials is understandable for the purpose of protecting the interests of farmers.

However, raw material prices are unstable or chaotic, which will bring a very difficult situation for China's flax production enterprises.

We also convened this salon to appeal: in order to maintain the healthy development of the market, we must resolutely resist the malicious speculation of flax raw materials. The final result of driving up the price of raw materials is the damage to the whole industry, and the first is the domestic production enterprises.

Domestic flax production enterprises are facing difficulties at present. In addition to the rapid growth of the above raw material prices, the price of supplementary materials has increased by 15% over the same period. Due to the strong labor intensity and poor environmental conditions of flax production, it is difficult for enterprises to recruit workers, wages are greatly increased, and the cost of production is higher and higher. At the same time, enterprise credit is also limited, and there are great difficulties in normal operation.

For the two labor-intensive enterprises outside the country, we hope that the state will give more policy support and promote the construction of a harmonious society.

In addition, this salon also agreed that in order to reduce labor and reduce labor intensity, part of the process equipment should be increased in technological pformation.

Reporter: in the future, the environment of China's Hemp textile enterprises is also very complicated. Please give some suggestions for the development of our enterprises.

Liu Yaping: in the face of complex and changeable market environment, enterprises can only achieve the sustained, stable and healthy development of the economy by focusing on the market, aiming at the demand, doing everything possible to open up the market and turning the passive into the initiative.