Cotton Price Fluctuates &Nbsp; How To Deal With Textile And Garment Industry?

From last September to now, cotton prices in China have been on the roller coaster: from 17 thousand yuan / ton to 34 thousand yuan / ton in March this year; after that, it fell from 34 thousand yuan / ton to nearly 20 thousand yuan / ton, which is close to the lowest purchase price of 19800 yuan per ton stipulated in the 2011 plan of cotton temporary purchase and storage in the state.

Textile companies have also gone through the ups and down.

As an important raw material of the textile industry, the price of cotton naturally affects the nerves of the textile and garment enterprises.

"For enterprises, the impact of cotton prices is mainly reflected in the sharp reduction in orders, underemployment, a large number of parking and other aspects."

Professor Li Jianqiang, textile School of Wuhan Textile University, said.

Cotton prices rush to buy cotton and pay a higher cost. Today, high inventories have experienced a sharp fall in prices, which has led to difficulties in the timely turnover of capital occupied by some enterprises.

How should the textile and garment industry respond to cotton prices?

Regarding the possibility of cotton fiber substitutes, Li Jianqiang said that other natural fibers are affected by factors such as production environment, land resources, labor force, production cycle and so on. It is difficult to replace cotton fibers on a large scale, but maintain a relatively balanced structure with cotton products.

At the same time, domestic chemical fiber needs to continue its efforts in differentiation, functionalization and high performance. There is a certain gap between quality and quantity in terms of quality and quantity.

According to introduction, Wuhan Textile University has also carried out related research. For example, efficient short process embedded composite spinning is the use of innovative spinning technology, the use of non-traditional textile raw materials, and then develop high-end products; in addition, ramie products one-stop clean processing is also the characteristic research achievement of Wuhan Textile University.

Insiders said that the cotton price will still face greater uncertainty in the later stage.

In the face of this situation, the textile and garment industry should not only increase the R & D and investment of alternative fibers, but also accelerate the upgrading of fiber structure, and further increase the added value of products.

This also confirms the recent reaction at the market level.

It is understood that although the recent decline in cotton prices, but when the new clothes listed, the sale of autumn and winter clothing did not appear consumers expected price cuts or discounts, and most of these products are well-known brands in the clothing industry.

For them, the price of brand clothing can not be simply measured by cost. The added value of clothing products is more likely to be created and guaranteed by brand and quality, so the fluctuation of raw materials has little effect on them.

The author also realized that in the fluctuation of cotton prices, small and medium sized enterprises which were mainly pure cotton were the most influential ones, while the enterprises with the development of blended products and the spinning and weaving enterprises with deep processing were relatively small.

In order to avoid "single product, single raw material, and always be led by cotton," many enterprises are relying on R & D to make differentiated products, which not only improves the added value of products, but also improves the brand and enterprises.

At the same time, the relevant industry associations also said that in the face of cotton prices "hot and cold", we should further improve the cotton market regulation mechanism, improve the efficiency and effectiveness of regulation.

In recent years, the state has adopted macro regulation and control of cotton market, such as storing cotton huff and puff, adjusting the quantity of imported cotton quotas, accelerating the pportation of New Territories cotton, stabilizing market prices and ensuring the needs of textile enterprises.

In the future, we should further improve the regulatory mechanism, normalize the relevant measures, give full play to the backbone role of large enterprises, increase the state's control over resources, ensure market supply, and play a greater role in stabilizing the market.