Recently, there has been news in the market that the price of gray fabrics has increased again! A cloth boss issued a notice: Due to the continued rise in raw material prices, the price of gray cloth has been increased and the discount has been cancelled.
A person in charge of a weaving company revealed: “The price of our gray fabrics has basically increased in the past two days. In order to reduce inventory, the price has been very low. Now the price of raw materials has increased a lot. This price has become unbearable, so it must rise a little. Like pongee and chiffon. The ones with low grammage will basically go up by 5 cents per meter, while the ones with high grammage such as four-way elastic and elastic cotton will go up by about 1 to 2 cents, depending on the weight.”
The rise in polyester yarn has led to an increase in gray fabrics
This time The most direct reason for the price increase is naturally the increase in the price of chemical fiber raw materials. Since December, international crude oil has shown a continuous upward trend, breaking 50 for the first time in nine months. Affected by the price of crude oil, the spot price of PTA futures has also continued to rise, thus driving up the prices of some polyester filaments. Since December, polyester filament FDY150D has increased from 5,350 yuan/ton to 5,800 yuan/ton; POY150D has increased from 5,080 yuan/ton to 5,625 yuan/ton; DTY150D has increased from 6,850 yuan/ton to 7,375 yuan/ton.
Theimpactofchangesinrawmaterialpricesongrayfabricpriceshasbecomeawell-knownfactamongtextileprofessionals.Mostclothbossesreportedthatwhenthepriceofrawmaterialsrisesto500yuan/ton,thepriceofgrayclothwillbeadjustedaccordingly,suchasanincreaseof0.05-0.01/meter.However,wedonotruleoutthepriceincreaseofsomehigh-weightgrayfabricsthatusealotofmaterials.Therefore,thecurrentpriceincreaserangeforgrayfabricsonthemarketis0.05-0.2yuan/meter.
Ithasbecomeapracticeforgrayfabricstoriseattheendoftheyear
Iwonderifyouhavenoticedthatgrayfabricswillriseattheendofeveryyear.Itseemstohavebecomeapractice.Thenewyearisapproaching.Judgingfromtheaverageyear,traderswillcarryoutawaveofstockpilingoperationsattheendoftheyear.Recently,duetothepromisingresultsoftheCOVID-19vaccine,theconfidenceofthedownstreammarketisgraduallyrecovering,marketordershavebeenplacedagain,andthesalesofgrayfabricshavealsoimproved.Thispartoftheordersandthevolumeofgrayfabricsincludethestockpilingofsometraders.Whenordersareimproving,theriseinrawmaterialpricesislikeafuse.Clothbossesaremorewillingtoraiseprices,andgrayfabricpricesareabouttorise.
Weaving companies have entered a state of loss and have no choice but to raise prices
On the other hand, weaving companies are also very helpless about the rise in gray fabrics and are forced to rise. In fact, a large number of weaving companies have been at low prices for nearly a year. The price of chemical fiber raw materials fell relatively low in the early stage, and the price of gray fabrics also fell accordingly. But now, after several rounds of corrections in raw material prices, the increase has reached the limit of the company. If it does not increase again, it will suffer losses. Behind the increase is actually more helplessness. Even if manufacturers join together to increase prices, there are still countless manufacturers in the market that sell goods at discounted prices. After the price increase of gray fabrics, companies may face greater competitive pressure in the market.
However, every time the price increases, whether it is the price of polyester or gray fabric, what people are more concerned about is the time when the price increases. It can be said that the price of gray fabrics this year is difficult to maintain. Although it has been raised several times recently, it was soon lowered again due to poor shipments. Selling goods at low prices has become the norm.
In the later period, manufacturers are still more likely to cut prices and sell goods
But this time, the possibility of history repeating itself is actually relatively high. The overall order reception situation in the market has declined recently. Although the order reception situation of some parts is still good, the shipment of gray fabrics has still been affected, and some manufacturers said that production and sales have begun to be uneven again. Once there is too much inventory of gray fabrics, and the financial pressure at the end of the year will be greater, the possibility of manufacturers cutting prices again and selling goods is still very high.
Traders stockpiling goods at the end of the year may support gray fabric prices
Although there are negative factors, there are also bullish factors. The news of widespread vaccination of the COVID-19 vaccine has greatly stimulated the recovery of market confidence. In particular, textile people are more enthusiastic about the market next year. If the epidemic is successfully controlled next year, the entire textile industry will show an upward trend, and the era of low prices will end. Inevitably, some traders will stock up on goods, thereby increasing the quantity of goods available, and the price of gray fabrics will naturally be strong.
Under the interweaving of long and short, we need to be cautious when stocking up at the end of the year. After all, the market is still in an unstable state and will change greatly in the later period. Especially at the end of the year when funds are more tense, stocking up needs to be reconsidered.
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