I recently asked a textile boss whether the dyeing factory has increased dyeing fees. He said it had gone up. I asked when it had gone up, and he said it was at the beginning of the year!
Thinking about it, this year is almost over, but the dyeing fee has not been touched for more than half a year. Normally, the say in dyeing fees is firmly in the hands of the scarce dyeing factories. It is normal to increase the price twice a year. It is normal to increase the price several times when the market situation improves. There will also be some “increases” during the period. “Urgent fee” and “exceeding cost”… And the dyeing fee is like age. Once it goes up, there is basically no possibility of it going back down. But this year’s printing and dyeing market is a bit abnormal.
Dyeing fees have encountered a “mid-life crisis”, price increases said No export
From the beginning of the year to now, the dyeing factory has been I want to raise the price but I can’t say it. As the textile market continues to be off-season and orders are scarce, the supply and demand relationship between dyeing factories and customers has changed in the past, and the phenomenon of “supply less than demand” has suddenly turned into “oversupply”. For most of the year, the production capacity of most dyeing factories cannot be guaranteed to be 100% operational, and many dyeing factories can only maintain half of the dye vat production.
The explosion at the Xiangshui Chemical Plant at the beginning of the year caused a violent shock in the chemical industry, and the price of dyes rose rapidly. Taking dispersed black ECT 300% as an example, the price jumped by 10.6% from 47 yuan/kg to 52 yuan/kg overnight, and other types of dyes also increased by more than 5%.
The upstream dye market rose so rapidly, but the downstream printing and dyeing factories were extremely calm at that time and did not take advantage of this golden opportunity to increase dyeing fees. The most recent price increase notice from a printing factory in Shengze was issued on February 16 at the beginning of the year. More than eight months have passed without any changes.
Dyeing and printing factories are not only unable to increase their dyeing fees, but more importantly, they have to face various counter-offers. At this time, anyone who has an order in hand, even if it is only a few kilometers away, must find a counter-offer with the dyeing factory. No five cents is too little and no fifty cents is too much.
The costs of labor, environmental protection, security inspection, hazardous chemicals, labor insurance and other aspects of the printing and dyeing factory have not declined because of the off-season. On the contrary, they are rising rapidly. The dyeing factory, which has always been rich and wealthy, also feels unspeakably miserable.
Dyeing fees are no longer discounted, and dye prices are rising?
Recently, there was news of a price increase from a dyeing factory in Zhejiang. Subsequently, a dyeing factory in Shengze with a daily production capacity of more than 600,000 meters also announced that it would start simulation on the 28th. Discounts will be canceled for two-time products such as silk, four-way stretch, and cotton. You must know that not long ago this dyeing factory was claiming that the price could be negotiated as long as the goods were made.
News about changes in dyeing fees have been coming out one after another. Could it be that upstream dye prices continue to be high, and dyeing factories have no choice but to increase dyeing fees to balance cost.
But in fact this is not the case, it is still to disperse the black Taking ECT300% as an example, the quotation in East China on the 24th was 29 yuan/kg, a decrease of more than 20% from the previous month, and almost half of the quotation in March and April. The prices of most other dyes and related products have also declined to varying degrees. In other words, it is not true that dye prices directly promote the increase in dyeing fees.
The price increase of some products is to reduce the price of other products
Then Is it due to the improvement in the market that the dyeing fee has changed? Not entirely. First of all, the market has not substantially improved. At present, the products produced by major dyeing factories are still mainly market products. T400, T800, Nylon, etc. are the protagonists of various dyeing factories. The usual order-based products that have started the peak season are still in the proofing stage. However, relying solely on market orders with short duration and limited customer base cannot satisfy every dyeing factory, let alone the textile peak season.
Dyeing factories cancel discounts on some products, which is actually a selection of products. Secondary products such as imitation silk, four-way stretch, and cotton have complex processes and long production times. One order often requires more than a week of operation time. However, the products currently being produced on the market are mainly disposable products with less craftsmanship and short time, which can be shipped in as little as one to three days.
Shortening the production cycle means that more market goods can be produced, and more market goods means more profits. The dyeing factory is naturally very willing to open a green channel for these products, and by raising the dyeing fee to restrict other complex products from entering the factory for processing, for those one-time market products, not only will the price not increase, but the large-volume discount policy will be implemented more thoroughly .
Textile People’s IssueThe peak season has already begun, and any disturbance in dyeing costs can be regarded as a sign that the peak season is coming, but this is not the case. This increase in dyeing fees is just an illusion. It is actually a price increase for certain specific products. Once the market outlook disappears, these preferential policies will quietly return.
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