Investigation and Analysis of the Status Quo of Domestic Textile Enterprises

Editor:桐乡市鑫宝莱纺织有限公司 │ Release Time:2018-12-14 

The high price gap between domestic and foreign cotton has brought great difficulties to textile enterprises, which has gradually reduced the international market share of China's textile products. In addition, wages and energy costs have risen sharply, which has further burdened enterprises. Recently, the reporter conducted a survey on the status of the capital chain of textile enterprises. It is understood that most companies are currently having difficulty in cash flow. It is expected that some enterprises will be forced to suspend production and holiday after New Year's Day.

Cotton prices remain high

Due to the high purchase price and high processing cost of seed cotton, the current spot price of cotton grade 3 lint cotton is mostly at 19200-19400 yuan/ton, and the fourth level is at 18800 yuan/ton. The textile enterprise's tolerance to lint prices is basically 18500-19000 yuan/ Between tons, except for some enterprises to purchase a small amount of cash in an emergency, most enterprises have chosen a relatively low-priced outer cotton. On November 30th, the price of Australian cotton with better quality of customs clearance was 20,300 yuan/ton, the price of slightly poor quality was 19,700-19,800 yuan/ton; the price of Indian cotton was 18,700-1,9000 yuan/ton; the price of US cotton was 19,500. Yuan / ton, the better quality quoted at 20,400 yuan / ton. According to some textile companies, it is more difficult to directly raise foreign cotton in the port recently. Some of the ports have introduced relevant restrictions on the full 40% customs clearance. At the same time, many traders use quotas to purchase and then increase the price to textile enterprises. The price of cotton to the hands of textile companies is not much cheaper than domestic cotton.

Bank reminds loan product prices to fall

In the interview, a cotton company official in Xinjiang said to the reporter: "The cotton mill is definitely short of money now, because according to the regulations of the bank, at least 50% of the goods must be returned before the end of the year, and the loan will be repaid first. Now it is still able to It is hard to say that we can't refinance. We basically don't sell the stock now. If customers need cotton, they mainly ask the mainland warehouse for cotton or imported cotton in 2011/12."

According to the survey, the sales of cotton yarns of textile enterprises have not improved recently. JC32S, JC40S and some special yarns are more popular, but the operation is mostly on the edge of capital preservation. “The day before yesterday, I went to Shandong to visit the customers. Their high-grade cotton yarns only dropped 200-300 yuan/ton, while the low-weight cotton yarns fell more than 500 yuan/ton. If the textile enterprises continue to operate poorly, the workers who are laid off will also be more The more the more, the head of a cotton enterprise told the China Cotton Network reporter.

Yarn inventory increases risk of capital chain breakage

According to the reporter's understanding, the yarn market of textile enterprises in Hebei Province continues to be weak, the market purchases and sales are deserted, the demand for medium and low-grade yarns is sluggish, and the sales of high-count yarns are general. Some manufacturers give preferential measures when actually trading, but the overall sales are still Not good. At present, more than 70% of the cotton textile enterprises in the province have been shut down for holidays, and the enterprises that maintain production are mainly concentrated in Shijiazhuang City. Most of these enterprises are in a state of loss, and the finished goods inventory is maintained at 60-90 days; polyester yarn and human cotton yarn enterprises are operating. The situation is still acceptable, in the state of low profit or capital preservation, the cost goods inventory is generally 40-50 days, and the enterprise destocking pressure has increased.

According to the person in charge of a textile enterprise in Gaoyang County, due to the poor sales of yarns and the serious problems of downstream enterprises, the current financial pressure on enterprises is relatively high.

Start-up companies barely produce basically no profit

Henan Xinye is a textile industry gathering area in Henan Province. There are more than 130 textile enterprises. According to the China Cotton Network reporter, more than half of the textile enterprises have stopped production. The remaining half of the enterprises have more than 70% of them. The remaining 30% remained on the line. Product sales generally pass cash, acceptance, transfer, arrears, etc., the relationship is slightly better 10% down payment, the balance of the account period is generally about half a year, the current sales of better products are combed 26S, 32S, 40S, the price is in 28,500 yuan / ton, 29,000 yuan / ton, about 30,000 yuan / ton, the company has no profit.

A person in charge of a textile enterprise in Henan told reporters: "At present, the financial pressure of textile enterprises is relatively large. Many enterprises have been unable to pay their employees' wages on time, and everyone is concerned about import quotas and whether the state is dumping or not. Some lint cotton is purchased in batches to maintain production. It is expected that some companies will be forced to suspend production holidays around New Year's Day."