China's cotton textile market depth survey report
Recently, the China Cotton Textile Industry Association sent a total of 25 person-times and composed 12 research groups. They visited eight provinces and regions including Jiangsu, Zhejiang, Shandong, Henan, Fujian, Jiangxi, Hubei and Xinjiang, and visited 74 cotton fields in the field. Textile companies and 9 cotton textile industry clusters. The six special topics on the overall situation of cotton textile industry clusters and enterprises, raw material protection, market situation, comprehensive costs and benefits, transformation and upgrading, and brand building were investigated. Click to learn immediately about the brand of cashmere sweater The start of the situation is good. Orders increase after the Spring Festival The companies surveyed involved about 18.67 million spindles and 22,000 looms. According to the company's report, the first quarter of 2017 was a good start. The survey company table showed that 93% of the companies started to close at 100% after the Spring Festival holiday. After the Spring Festival holiday, the production situation is stable. Most enterprises are more optimistic about the situation this year, and the products are more cautious and optimistic than single enterprises. Many companies have adapted to the short-term and small orders, and the shortened delivery cycle market demand. The company's product inventory levels are low and the risk of bad debts is reduced. Orders after the Spring Festival increase by 5% to 10% year-on-year, and can basically be arranged for 2-3 months. Production orders for some dyed fabrics have continued until August. Home textiles and clothing orders are concentrated in advantageous companies with relatively complete industrial chain. In the industry, where orders are generally insufficient, the number of orders for enterprises has been increasing. Investment is more rational and more rational In an environment where market demand is still weak, companies are more cautious in their investment in production capacity, and production expansion is more rational. 28% of companies have investment intentions, and 20% have already or plan to transfer their industries. Xinjiang's enthusiasm for attracting foreign investment in spinning companies is still rising. Some companies with large financial pressure expressed that while stabilizing the scale of production, more energy and funds will be placed on the research and development of products, constantly changing product varieties, innovating continuously and stably, in order to meet customer needs and improve the market competitiveness of enterprise products. Low raw material stocks are popular with non-cotton fibers At present, companies use raw materials to basically follow the principle of using and buying. No matter cotton or non-cotton fibers, there is no large inventory. The main reason is to avoid the risks caused by price fluctuations, reduce the amount of funds used, and ensure liquidity. For raw materials procurement and inventory, there are mainly the following factors: Click to learn immediately about the brand of cashmere sweater Enterprises using non-cotton fibers show an increasing trend. In 2016, the use of non-cotton fibers in the cotton textile industry was basically the same as that of the previous year, which was 12.63 million tons. More and more companies are trying to use non-cotton fibers. The survey found that companies using more than 50% of non-cotton fiber have shown an increasing trend. Most companies stated that they will continue to increase the use of non-cotton fibers. The companies that have been insisting on producing pure cotton products have also indicated that they will adapt to the increasing market trend of the proportion of non-cotton products and try to use differentiated fibers to achieve fiber diversity in yarns. Reserve cotton was put into a stable market, and the quota increase was higher. In 2016, the country’s cotton production was 4.94 million tons, of which Xinjiang’s cotton production was 3.95 million tons, accounting for about 80% of the total. At present, textile companies mainly use Xinjiang cotton and put in reserve cotton, and a small amount of imported cotton is in use. The supply of reserve cotton played a positive role in maintaining the stability of the cotton market. It is understood that in Xinjiang, which has attracted much attention, the yarn production in 2016 will be about 1.1 million tons, of which about 20% will be cotton blended yarns and chemical fiber yarns. The conversion rate of cotton increased from 15% in the previous year to 20% in 2016. Since the implementation of the cotton target price trial in Xinjiang for three years, the domestic and foreign cotton price gap has narrowed. Due to the prominent structural contradiction of cotton, enterprises are eager to increase the cotton import quota. Imported cotton yarn decreased year-on-year, and the quality of domestic yarn products was superior. Since the implementation of the cotton target price trial in Xinjiang in three years, the cotton price gap between home and abroad has narrowed. The average price difference between domestic and foreign cotton in 2016 was 1,500 yuan per ton. The difference between domestic and foreign consolidated cotton yarns was about 300 yuan per ton. It was upside down over a period of time and imported cotton yarn. Showing a decreasing trend. In 2016, cotton yarn imports totaled 1.97 million tons, which, despite a 16% year-on-year decrease, was still relatively large, equivalent to a production capacity of more than 10 million spindles, and the degree of concern remained high. Domestic weaving companies have stated that when the domestic and foreign yarn spreads are less than 500 yuan per ton, they will choose to purchase domestic yarns in consideration of the order cycle and quality stability factors. Click to learn immediately about the brand of cashmere sweater The market is stable and the price is poor The market is stable and good is the consensus of the research company. From the perspective of the China Cotton Industry Association tracking the situation of enterprises, the aggregated data of enterprises that accounted for 50% of the total industry capacity in 2016 showed that the main business income of cotton textile enterprises increased by 4.4% year-on-year, and the total profit increased by 7.1% year-on-year. After undergoing washing in recent years After surviving the card, the company's operating conditions have gradually improved with the transformation of the times, the improvement of research and innovation capabilities, and the improvement of the overall competitiveness. The visited SMEs reported that despite the year-on-year increase in corporate profits in 2016, the growth rate was limited and was slightly lower than the sales growth rate. After the Spring Festival in 2017, despite relatively smooth sales, corporate profits were relatively meager, and the market situation remained fragile. Some enterprises were still losing money. The surveyed companies reflected that although raw material prices rose on a phased basis, they were not driven by demand. This was reflected in the fact that the increase in cotton yarn was less than the increase in raw materials, the price of cloth products did not basically rise, and the price of products in the industrial chain was poorly conducted. Recently, when the price of viscose staple fiber fell, the drop in viscose yarn exceeded the decline in raw materials. Regional differences in the cost of financing expensive problems highlighted Under normal circumstances, the raw material cost for spinning and weaving production accounts for 72% to 65% of the total cost, and the labor and electricity costs each account for about 10%. Taking the example of 40 cotton yarns for a certain company during the investigation, the processing cost for producing one ton of yarn is 7,000 yuan, and the profit for ton yarn is only 200 yuan. In terms of labor costs, the labor costs of the coastal areas and the central regions are more than 500 yuan per ton. In terms of electricity costs, the survey area electricity costs ranged from 0.28 yuan to 0.72 yuan per degree, and the electricity cost per ton of yarn in Xinjiang was lower than that of mainland enterprises by around 1,000 yuan per ton. In terms of other costs, due to the large investment in fixed assets of cotton textile enterprises and the high liquidity requirements, the current financial environment has made it difficult for loans in the cotton textile industry, high loan interest rates, difficulties in financing and expensive financing, and financial and tax costs. The proportion increased. Enterprises with more loans will increase their loan interest rates by 10% to 20%, making it more difficult for enterprises to make profits. In recent years, cotton textile enterprises have actively taken measures to “reduce costs†despite continuous growth in production and operating costs. In the production cost, the comprehensive competitiveness is enhanced by increasing the operation rate of the equipment, increasing the added value of the products, increasing the labor productivity, saving energy and reducing consumption, and reducing the financial cost. Transformation and upgrading present a new atmosphere The investigation has learned that equipment renewal, technological transformation, product innovation and quality improvement are the main methods for the transformation and upgrading of cotton textile enterprises. Most of the enterprises are mainly phasing out obsolete equipment (equipment before 2007) in terms of equipment, and will increase their willingness to use high-efficiency, quality-enhancing, and less-intelligent equipment. Companies such as Weiqiao Textile and Jiangsu Dasheng have taken the lead in building the most advanced spinning production line based on domestic equipment. Technical renovation and energy conservation and emission reduction measures continue to deepen. The old-fashioned jet looms, rapier looms, dyeing and finishing equipment with high energy consumption and high water consumption are gradually phased out; the replacement of energy-consuming motors and fans, and the addition of frequency conversion devices save electricity, steam, and water. Click to learn immediately about the brand of cashmere sweater Some cotton textile agglomerations give full play to their advantages in resources such as raw materials and labor, speed up industrial agglomeration, expand the brand influence of the clusters, increase investment in product R&D and improve refined management, and further develop high-end customers. In terms of internal management, many high-quality companies have accelerated their work on ERP information management systems, integration and integration. The application of production bar codes and supporting management software has strengthened the internal management of the company and the management efficiency has been significantly improved. The e-commerce platform has emerged. The business model of online and offline transactions through the Internet has gradually taken effect in response to market demand, and new logistics methods are gradually being formed. Actively adjust product structure brand awareness gradually strengthened Research on the product varieties of companies in different regions shows that the proportion of non-cotton products has increased, the variety of products has been differentiated, and the product grade has grown to the mid-to-high end. In the development of ideas, from the pursuit of quantity to the pursuit of quality and the pursuit of high value-added changes. And it is agreed that although the gauze products are intermediate products, its brand effect can still increase the added value for the company. From the perspective of yarn fiber raw materials, the proportion of non-cotton yarns increased, among which conventional polyester/cotton yarns and other cotton blended yarns did not increase much. From the perspective of yarn counts, the majority of the yarns in the research company's central ring spinning fabrics exceeded 40S, in order to avoid The competition between imported yarns and Xinjiang yarns adopts misplaced competition, such as the product market for air-spinning adding 32 yarns; there are also some companies that increase the value of their products and take market demand as the starting point to improve product quality and focus on new research and development. Product; From the perspective of spinning, the proportion of siro spinning and compact spinning yarns is showing a trend of improvement; from the yarn use point of view, high-end knitting yarns and yarn-dyed yarns have increased. Among the weaving companies surveyed, pure cotton fabrics still occupy an absolute advantage, and new materials and new processes are increasingly used. Some enterprises with little advantage in pure cotton products are more inclined to follow the trend of market development and increase differentiated products, with as many as 100 kinds of varieties. Enterprises in some regions changed the structure of yarns and fabrics. The technological transformation input accounted for more than 10% of sales revenue. The product structure and quality were quickly adjusted, making the yarn category more abundant and the fabric style more diversified. Developed and promoted together with downstream customers to work on design, branding, awards and added value. 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