Cotton Prices Fall And Autumn Clothes Still Rise &Nbsp; Clothing Enterprises Profit Margins Are Thin.

In May last year, domestic cotton prices were only around 17000 yuan per ton, and then soared to a higher level, crossing the barrier of 20 thousand yuan and 30 thousand yuan per ton, and then jumped to the highest point in November, reaching 33 thousand and 500 yuan per ton.

Cotton prices hit a new high in February this year, reaching 34 thousand and 900 yuan per ton.

But soon after the "sudden change", it dropped to nearly 30 thousand yuan per ton.

Then down the road, by mid July, only 24 thousand yuan per ton, down nearly 30% from the highest point.

However, the price of newly installed autumn clothes did not "synchronize" with the rise and fall of cotton prices.

In Xinjiekou Dayang department store, many brands have placed their autumn clothes in the eye-catching position of the store.

Reporters found that Eland, Teenie Weenie and other brands of autumn clothing compared with last year, many fabrics, styles basically the same single products, prices have been raised.

For example, a small bear pattern sweater in Teenie Weenie is priced at 898 yuan this year, while last year the same style was only 700 yuan, up nearly 13%.

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Reason: price pmission, autumn clothing should use "spring cotton".

Why does the price of autumn wear not drop with cotton?

"Turning cotton into clothing has a price pmission process."

Mr. Xu, head of the Sales Department of Nanjing Rong Feng fashion design and production center, said that after the cotton was collected, it was spun into cotton yarn by the spinning mill, and then woven into cloth by the cloth mill. The printing and dyeing plant was printed and dyed, and finally sold to the garment enterprise for processing. It usually takes three or four months.

That is to say, the clothes made now are used as early as this spring cotton.

Some large garment enterprises have implemented cross season production.

Even if the price is raised, clothing enterprises will still complain.

Because in this industry chain, the upstream enterprises will "shift" the higher cost to the next generation, and the price increase can not digest the rising cost of raw materials.

The "Nanjing Jiahe dress" on Yu Dao Street is a small garment processing enterprise that has been working for more than 10 years.

Boss Shi Shi told reporters that although the cotton prices dropped, but because of the lag of price pmission, the price of cotton cloth they got was 30% - 40% higher than that of the beginning of the year.

However, there is no way to float the price to the customers. "Some old customers are more willing to accept the 10% to 15% increase. Some customers are very conflicted. They think that the price of cotton has gone down. Why do they have to raise the price?"

He said that even orders that agreed to raise prices could not completely digest the cost of cotton cloth rising, and enterprises had to pay their own bills.

Observation: clothing enterprises are unhappy

In addition to the cost pressure of the raw materials, the rising labor price also encroached on the profits of the garment enterprises.

"San DIO" relevant person in charge said that raw materials and labor force is the biggest two cost of clothing enterprises.

"In recent years, the cost of labor is also rising, and now some operators of some garment factories in Nanjing have reached an average salary of 3000 yuan per month."

He said that if wages were not increased and labor would be drains, enterprises would suffer from "labor shortage".

Nanjing Caijing Garment Co., Ltd. is a clothing company specializing in women's wear.

The boss, Mr. Tang, said their wages to employees increased by nearly 1/3 over last year.

Some small and medium-sized garment enterprises are struggling.

Nanjing Li Resources Textile Co., Ltd. relevant responsible person said that in order to be safe, enterprises can only reduce production, "only dare to pick up 1000 - 2000 pieces of" small single ", profits are very small.

"It has never been so hard."

Jiahe clothing boss Mr. stone is very emotional, "I have been doing business for more than 10 years, the situation is the first time I see."

He said that before the enterprises had hoarding some cotton cloth, they could see that the cotton had skyrocketed and plummeted.

Now only do some old customers' processing orders, with little profit, and some are not profitable at all.

The price of small cotton has surged and plummeted over the past year. From the highest level of 30 thousand yuan per ton, the "diving" to the present 20 thousand yuan has led the whole industry to link up a "roller coaster" on the ground.

Although cotton prices have gone down in the past few months, the price of newly listed autumn clothes has not risen.

According to the insiders, there is a cycle in clothing production. Most of the clothes that are now listed are bought at the beginning of the year, and the cost of labor is rising.

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