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Raw Material Cost Rises &Nbsp; &Nbsp; Textile Industry Is Difficult To Resist.

2011/8/10 13:30:00 60

Raw Material Cost Textile Industry

Textile industry statistics show that in the first 1-6 months of this year, the textile and garment industry maintained a steady growth throughout the whole year, and domestic and foreign demand and industry supply were in line with expectations. However, the prices of production and consumption rose rapidly, which had a certain inhibitory effect on the expansion of the industry.


The demand for cotton textile enterprises has slowed down, and the prices of textile raw materials such as water polyester, viscose and cotton have been substantially adjusted.


Shang Pu consulting light industry analyst believes that

Cotton price

It is the key factor that determines the cooling and heating of the textile industry.

Cotton prices rose sharply in September last year, bringing the textile and garment industry to a high cost operation era.

In order to control the CPI consumer logistics index in a reasonable price, monetary policy is becoming tighter.

With the size and growth rate of credit controlled by the state, it will be more difficult for light textile enterprises to obtain funds from banks, and the huge fluctuation of raw material prices will also bring great pressure to the textile industry.


In recent months, cotton prices have gone all the way, new listing.

Autumn dress

Prices will not rise but rise.

Compared with the brand price last year, it has improved, but the room for further price increases will be very limited.

In the first half of the year, the operation of Chinese textile enterprises was basically stable. However, labor costs increased, labor shortages intensified and raw materials and cost increased.

The number of outdoor, home textiles, leisure compliance, channel size and income growth is still in the growth stage, and there is still room for "quantity".


Three problems facing the textile industry


2011-2016 years of Chinese textile industry released by Shang Pu consulting

market analysis

The investment strategy research report shows that China's textile industry faces three major problems in terms of its strong domestic sales and structural adjustment.


First, the rapid rise in cotton prices is a key factor in the rising cost of raw materials.

Starting in September 2010, cotton prices in China have soared.

Although cotton prices have been on the decline since April of this year, they are still operating at a high level.


Two, in the process of world economic recovery, the uncertainty of demand growth in the international market has increased. The competition among countries in the international market has become increasingly fierce. The price of raw materials and the rise of labor costs in China's textile industry are more obvious. This makes emerging developing countries directly compete against China's traditional textile and garment industry.


Three, raising interest rates will bring difficulties to financing.

The five increase in interest rates this year has made Chinese textile enterprises, especially small businesses, more nervous. Whether they are normal production operations or expanding their scale, lack of funds has caused difficulties for textile enterprises.

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