Currently, the textile market in Jiangsu and Zhejiang has resumed operations, and most textile companies have started operations, but production capacity is still gradually recovering.
However,
just when you start to prepare
open the door to take orders,
you are caught off guard,
The price of gray fabric has increased!
It is reported that some manufacturers in Wujiang area have raised the prices of gray fabrics. According to the survey, the prices of some gray fabrics have recently increased by about 0.10-0.40 yuan/meter, and some varieties have increased even more. Taking the currently hot-selling 300T pongee as an example, the quoted price a year ago was 1.80 yuan/meter, and the current quoted price is around 1.90 yuan/meter.
Already fabric manufacturers have felt the pain of this wave of gray fabric price increases, which is indescribable. Most of the orders currently being executed are from a year ago, and the prices have already been negotiated with customers, so the rising costs can only be absorbed by themselves. Although supporting finishing companies such as printing and dyeing plants and coating plants have not yet started production, the gray fabric market has received many orders. It seems that “gold, three, silver and four” are on the way!
1
New production capacity is low, some Gray fabrics are in short supply
The gray fabrics whose prices have increased are mainly order-quality goods, and there is almost no change in market goods. For order-quality gray fabrics, the inventory is not large. A few years ago, most of the millions of meters of inventory produced by manufacturers were market goods. Therefore, before new production capacity was added, this part of order-quality inventory became a product in short supply.
It is well known that the production capacity of the entire weaving market is currently low. Coupled with the tight supply of some products, weaving bosses are taking advantage of the trend to increase prices. One wave. In addition, some gray fabric traders took the opportunity to stock up on goods and sell them at high prices. As a result, the price of gray fabrics in the entire market was raised.
Q1
An owner of a company that produces conventional varieties revealed: “My factory has not yet started operations, but the shipments are normal, and the warehouse is full of new products. There is a lot of inventory left, and it is time to go to stock. At present, our factory’s orders are hot, and the sales volume of all series of fabrics and linings are very good! The price of gray fabrics has also increased, among which polyester gray fabrics have increased by 0.05-0.1 yuan/meter, and nylon fabrics have increased by 0.05-0.1 yuan/meter. The price of gray fabrics increased by 0.20-0.40 yuan/meter.”
2
Under the epidemic, cost pressure has increased
Although most factories in Wujiang area have resumed operations, their production capacity is only 20-30%. Under low production capacity, the costs of weaving companies have increased. A cloth boss made an calculation for the editor: when the loom is fully operated, the cost of a loom is 150 yuan a day; now that the production capacity has been reduced, the cost of a loom has increased by at least 20%, that is, the cost of a loom has increased by at least 20%. The cost of a loom is 180 yuan per day.
Second, the epidemic is not over yet, many non-local workers have returned to Sudan, and companies need to bear the cost of travel, board and lodging, etc. It has also increased, and it also needs to bear the heavy responsibility for the health of employees, which is very risky.
Third, the cost of cargo transportation has also increased. Also due to the lack of workers, the loading and unloading costs of gray cloth have increased, and the costs of short-distance transportation of goods have also increased. Based on the above three reasons, weaving companies are forced to raise prices this time.
Q2
A business owner who has produced pongee for decades said: “The current costs are high and the operating rate is insufficient. , the cost of the machine has increased, and it is too difficult to recruit workers now. In addition to transportation, we also have to take care of food and housing, and ensure the health of employees. The risk is all on the company, and the pressure is really great!”
3
The price increase after the new year has become a market rule
According to the rules of previous years, gray fabrics will There will be a round of price increases. At the beginning of 2019, products on the market such as SPH2/1 oblique, matte and broken card need to queue up to get the goods. The price has increased by 0.10 yuan/meter. The price of nylon series products has also increased. For example, 380T nylon yarn has increased by 0.05 yuan. -0.10 yuan/meter. The same is true at the beginning of 2018, with prices of polyester taffeta, imitation silk and other products rising along with the trend.
2020 is no exception. The price of gray fabrics has been raised after the market resumed, which is also followed every year. Weaving companies will naturally not miss the “natural law” of price increases after the year, and they may not have the opportunity to increase prices in the future.
It is a fact that the price of gray fabrics has increased, but it is still at a low level in recent years. In other words, some products that were sold out years ago have returned to normal prices. The increase in gray fabric prices by some manufacturers this time may only cause trouble for orders received a year ago, but will not have a great impact on subsequent orders, so traders do not need to worry too much. There are also many uncertainties in the market at present. Weaving companies have insufficient production capacity, and printing and dyeing finishing companies have not started operations yet. It is difficult to deliver orders, especially in foreign trade. Delivery delays have a greater impact on orders. The demand for foreign trade orders in 2020 cautious.
IndustryDevelopment is a coexistence of opportunities and challenges, and you need to seize the opportunity to take action. After all, good market conditions wait for no one. Faced with today’s increasingly lively trading atmosphere, who doesn’t want to open the door to receive orders?
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