Two days ago, a piece of news about the sale of gray fabrics appeared in the editor’s circle of friends. A textile company sold 200,000 meters of 190T polyester taffeta gray fabrics at a price of 0.83 yuan/meter. The weight was 68 grams. It was freshly produced by a new machine. Blank.
It’s not uncommon for this kind of information to appear in Moments, so why did this information attract the editor’s attention? Let me go through them one by one.
The quotation is higher than the previous period. Why?
Selling goods at low prices is the deepest impression this textile company has left on the editor.
If there is a textile company that sells goods in February, continues to sell goods in April, and continues to sell goods in May, it is difficult not to be impressed. What’s even more frightening is that the price offered by this company is getting lower and lower every time. How low is it in the end? That price made colleagues shake their heads, and even the onlookers questioned the authenticity of the price.
Selling goods at low prices is a common method used by textile companies to effectively destock and revitalize funds. As can be seen from the table above, inventory has dropped significantly after each price reduction. When the financial pressure on enterprises is relieved, there will naturally be no need to continue this kind of loss-making trading of “price for volume”.
Another important point in the above news is that this batch of gray fabrics is fresh fabrics produced by new machines.
As we all know, the price of fresh billet is different from that of inventory. In general, the price of fresh billet is generally higher than that of stock. In addition, it is produced by new machines and the quality is more stable, so it is reasonable for the company to increase the quotation. However, although the quotation has been increased this time, the selling price has only increased by 1 cent per meter compared with the sales price in February.
From this point of view, in the off-season atmosphere, textile companies are extremely cautious in pricing fabrics. After all, the current textile market is still stagnant in orders, and large-volume conventional fabrics are more likely to fall into involution, forcing profit margins to shrink again and again. Faced with the choice of maintaining profits or maintaining orders, textile companies sighed, “Without orders, there will be no profits!”
The quality is not much different, price is the key
In the textile market, the same fabric can be divided into “market goods” and “order goods”. According to the literal meaning, market goods refer to those ready-made fabrics that are produced in advance and sold directly into the market; while order goods are fabrics that are produced according to order requirements and supplied directly to customers by manufacturers.
But now, “order goods” means guaranteed quality, and the fabric weight and craftsmanship are more strictly controlled. “Market goods” generally refer to relatively deviated cloth. In order to save costs, the weight of such gray cloth is generally insufficient. For example, the weight of 400T polyester taffeta “market goods” is often not as good as that of 380T polyester taffeta “order goods”.
“Order goods” and “market goods” are products of the times, which are caused by old machines, bidding, and market demand.
A weaving company said that when placing orders, customers now need both good quality and low prices. For the same high-twisted hemp, if other companies make it with a slightly lower weight, the price can be 2-3 cents cheaper. If this is an order that does not have high requirements on fabric quality, the buyer will definitely be more willing to purchase low-priced fabrics.
“The supply of low-priced 300T pongee has been tight recently. We took the opportunity to sell a batch of old inventory with order quality. Although this batch of fabrics has been stored for a long time and is a bit dirty on the outside, it is good on the inside and machine pulped. , it will have no effect at all if it is processed in a dyeing factory.” A trader revealed.
It is said that today’s textile market is all about “winning on price”, but it is not a good thing for manufacturers to only rely on low-price competition to obtain orders.
Afterword:
At present, the recovery of terminal demand is not as good as expected, and orders have not yet been placed in large quantities. It has become difficult for conventional fabrics to “turn around”. How to revitalize inventory and funds has become a difficult problem for textile companies.
</p
