"It's painful ah." This is Wuhan, a responsible person in cotton and journalists that the first words when they meet.
Why you could say that? "Pain" in the wrong? According to reports, the rising cotton prices plummeted, so textile companies get a "roller coaster" experience much "in heaven and on earth" feeling. Now, faced with a large number of users limit, spinning to the already high prices and lower inventory accumulation sharp drop in orders for emergency situations. Rumors of the export tax rebate rate will be reduced, perhaps many textile companies, "cooling".
Since last year, cotton prices are always unpredictable. Last May, the cotton price is 17,000 yuan / ton, six months later, cotton prices soared, the prices of more than 30,000 yuan per tonne in February this year, cotton prices reached +35,000 yuan / ton of records. Since April, the domestic cotton price Youyi three days average of 500 yuan / ton price quickly dropped. Two months, cotton all the way up to 22,000 yuan per tonne, a drop Jinsan Cheng.
Most of the cut-off yield of subsequent textile companies dropped
Weaving, dyeing, and some small-scale garment enterprises and other downstream users, 60% -70% reduction, textile production direct compression by 40% -60%.
"Save the 3000 tons of cotton to a loss of 30 million yuan, ten thousand tons of losses." Whoever said, cotton prices rose, many companies are accumulating very high price of cotton, some big companies to save tons of cargo, which means that the direct loss of billions of dollars.
According to reports, recently held a cotton field personnel do a market survey in Jiangsu and Zhejiang, weaving, dyeing, and some small-scale garment enterprises and other downstream users, 60% -70% reduction of textile production 40% -60% direct compression. To avoid the risk of cotton compress output 1 / 3, 3000 tons a month before the inventory, and reduce to two months after digestion.
"The whole industry is very difficult, than the 2008 financial crisis is more serious."He was the one that cotton prices soared last year, following customer mix seize goods orders are placed can not be opened. Since April this year, cotton prices began to decline, many textile firms to take a position that can only point to buy it.
He also noted that water, electricity, gas, oil and labor costs continue to increase, companies are facing increasing cost pressures, and the country was tightening up, many small and medium-sized enterprises lack liquidity, survival difficult.
Besides concern that has been in continuous decline in cotton prices will dampen the enthusiasm of farmers, thereby reducing the production of cotton textile firms can only choose to import cotton, cotton procurement costs account for about 70% of the costs of integrated firms using imported cotton to a substantial increase in costs the business, then the survival of textile companies will be more difficult.
How many losses, many textile companies left in the inventory loss
Most of the purchase price of lint cotton business inventories are more than 28,000 per tonne while the current market was up to 2.3 million, was too late to hand cotton trade, the financial deficit of one thousand yuan.
Wuhan, head of Chi Lin Lam Shing Textile was very depressed cotton prices rose last year, was up to more than 30,000 yuan per ton price of breath and eat hundreds of tons of cotton, cotton prices have now fallen by 30%, he lost more than a million . Lin Chi said, cotton prices are falling, companies are doomed to a loss of inventory sold. But let his frustration is that so many stocks to sell is a big problem.
Industry sources say that most of the purchase price of lint cotton business inventories are more than 28,000 yuan per tonne, while the current market was up to 2.3 million, was too late to hand cotton trade, the financial deficit of one thousand yuan.
"Currently, all businesses spend stocks is risk-averse approach." Whoever says that most textile stocks higher, some populations of up to one and a half, "high inventory is still difficult to get rid of the straitjacket," Last year our customers to buy cotton and cotton yarn is also racing to catch, and While the price has doubled.Now it is difficult seller textile companies. "This year is no better than domestic textile companies, and Shandong and Jiangsu in the vicinity of large enterprises billion loss this year, maybe. "
"China's cotton industry inventory report," recently showed that in April increased chain yarn inventory 13.1 days, is the highest level since March 2009, distribution chain inventory by 8.8 days in March 2010 has become the highest level since.
Textile companies face a lack of export orders
The entire industry, textile export orders decreased by one third, Lam Shing Textile exports were 15 million yuan, and now there is no export orders.
Cotton is the raw material for the textile industry, commodity prices fell not so good? Why cause a significant loss of business?
"This is a misunderstanding," said industry, from farmers, traders, cotton clothing terminal companies, the textile industry is the "center" industry is the biggest loser.Downstream customers to buy or not buy a lot of cotton and must be ordered more than the other, and vice versa, customer orders will be reduced.
Textile industry is also a "buy or not to buy up" mentality that contributed to the downstream firms wait and see mood, the whole production chain into a "value subtracted" vicious circle.
"By making a slow recovery of U.S. and European markets, buying less RMB appreciation, rapid increase in raw material prices and labor costs and other factors, the domestic cotton textile exports is an advantage in the textile industry to reduce the number of orders." Has one said that China's textile industry still belongs to the export-oriented industries, domestic textile companies are in the order of 10% -20% higher than international production costs, China's textile exports to face a big challenge. One said he was worried because at the beginning of high cotton prices, the international competitiveness of domestic textile products was very weakened.
"Now is not the order." Lin Chi said, the whole industry, textile export orders decreased by one third, Lam Shing's textile exports to 15 million yuan, and now there is no export orders. "For us, small and medium enterprises, it is impossible to withstand the blow."
"Before the order can be routed to our after 2 months, now only six months after release. Cotton prices declined, causing many customers are waiting to see, look right." Another person responsible for the textile industry, textile industry generally about two to three months stock. "Three months ago the firm to three yuan per tonne contract price for the purchase of cotton, now and in agreement with the customer at current prices, the loss of five or six thousand dollars per ton, depending on the monthly amount of 350 tons of cotton count, three months 1000tons, a few million casualties. "
Tax cuts and small and medium-sized enterprises "fatal blow"
Plus or minus one percentage point relates to the textile industry on 52000000000 yuan in profit. Textile industry in the long-term gain, even if the decrease of one percentage point, it means that the boundaries between life under a large number of small and medium-sized enterprises will be shot.
In many textile firms are forced to reduce production, reduce the time to "textile industry is able to reduce the export tax rebate rate by five percentage points," stories that many textile companies, "cooling".
"This is a fatal blow to small and medium-sized enterprises." It has a fairly worried about volatility in cotton prices rose as high as double the export rebate rate, if more lower, textile industry, the outlook is bleak, "let alone five, although one or two points can not be stressed."
Other persons responsible for the textile industry, the yuan exchange rate led to a sustained increase of 0.5% annual reduction in corporate profits, commodity prices, labor costs rise in direct compression of the profits once the tax rebate rate down, basically it will be "zero profit".
China Textile Economy Research Center, Sun Huaibin analysis of textile enterprises are so sensitive to the export tax rebate adjustment, especially because the number of textile enterprises, especially SMEs, can not withstand the blow lost profit. According to reports, China's textile exports in 2010 totaled 77.051 billion U.S. dollars, the export tax rebate of around 78.5 billion yuan. Plus or minus one percentage point relates to the textile industry on 52000000000 yuan in profit. Textile firms in long-term gain, even if the decrease of one percentage point, which means that the boundary between life under a large number of small and medium-sized enterprises will be shot. 2011-6-6