Cotton Prices Fall, Clothing Rises &Nbsp; Comprehensive Regulation Is Beware Of A New Round Of Price Surges.

Since September of last year, cotton prices in China have not escaped the collapse of the same price as many farm products. From step by step to a straight line landing, from the 34 thousand yuan / ton in March this year, it fell to the 19800 yuan / ton stipulated in the national "2011 cotton temporary purchase and storage plan". New cotton Minimum purchase price. The cotton price on roller coaster has made cotton farmers, cotton enterprises and textile industry complain incessantly.

Zhu Qinghua, a light industry researcher at CIC, said in an interview with reporters: "the reason for this phenomenon is mainly due to oversupply in the domestic market." Cotton prices rose sharply last year, stimulating cotton farmers' enthusiasm for growing cotton and increasing cotton. planting area Coupled with climate suitability, domestic Cotton yield There has been a substantial increase. On the one hand, the downstream cotton chain enterprises in the industrial chain are facing the pressure of rising costs. On the other hand, affected by the debt crisis in Europe and the United States, the world economy is slowing down. The global cotton consumption stamina is insufficient, the demand for imports from Europe and the United States has declined, and the enterprises in the early stage of the Tun cotton industry chain go to the inventory period, so that the demand for cotton is insufficient.

In the face of falling cotton prices, the clothing industry has turned up. Reporters recently visited several famous shopping malls in Bei City, found that the major brands of autumn and winter clothing have different gains, and some brands even up to 40%. A salesperson at the mall said in an interview with reporters: "this year's autumn winter coat and coat are generally rising in price. Women's clothing brands are particularly fierce. Taking the brand I sell for example, most of the winter clothing has entered four figures from three digits."

"Clothing from design to order production generally takes three or four months, and most of the clothes made now are cotton this spring, so the current autumn and winter clothing is originally used for cost of cotton, not the cotton that is now depreciating. Besides, rent and labor costs are rising. This year, the wages of workers in our factory have increased by 20%! "Ms. Zhong, who has been engaged in garment production and processing for many years, told reporters.

In this regard, Zhu Qinghua pointed out that, in order to maintain normal production operations throughout the year, spinning enterprises generally need to keep inventory for about two months. Last year, enterprises bought cotton for stock at a high price, resulting in a sharp fall in cotton prices this year, when the cotton stored in the early stage became a burden, which significantly reduced the profit margins of enterprises, together with the influence of labor costs and RMB appreciation. As a result, slow inventory and weak demand have led to a rise in prices, so as to maintain the survival of enterprises.

Because of the "hot and cold" cotton prices have seriously affected the enthusiasm of farmers planting cotton, many cotton farmers said that next year will not continue to grow cotton. The industry is worried that next year may start another round of rising cotton prices.

In this regard, Zhu Qinghua believes that cotton prices are mainly determined by the supply of the market as a whole. Therefore, the competent departments of agriculture in various regions need to make rational planning for local cotton growers, scientifically arrange them, and establish platform for market information disclosure as soon as possible, so that market information and planting conditions can form information docking, so as to prevent cotton farmers from following the wind.

In addition, the state should further improve the cotton market regulation mechanism, stabilize the market price of cotton, 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 at the same time increase the capacity of purchasing and storage to a certain extent, so as to alleviate the imbalance between supply and demand in the market. Comprehensive, multi angle comprehensive regulation of the market and supply and demand, to prevent the coming of a new round of price surges.