01
Mar

What's the situation of 2020 textile market?

At present, novel coronavirus pneumonia cases are continuing to decline in China, and the resumption of textile market has entered the final stage. However, there are still enterprises that have not returned to work and production capacity is not restored in place in the market, which is very concerned by the insiders. Here are some questions for you.

Weaving enterprise's starting rate rises to 50%

First of all, let's look at the resumption of work. At present, 80% of the weaving enterprises in Wujiang have resumed work, only 20% of them are still in the state of production suspension. It is expected that they will resume work in early March. A small part of the enterprise's sales department has received orders and delivered goods normally, and the factory has not yet resumed production.

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Resumption of production

Among the resumed weaving enterprises, the production capacity is still recovering gradually, from 20-30% last week to about 50%.

Weaving enterprise orders only 10 days

With the gradual increase of production capacity, on the one hand, workers are coming to work one after another, on the other hand, the single volume is also rising, and the manufacturer will increase the startup rate. Recently, the sales volume of various kinds of conventional grey cloth is considerable, but most of them are orders not completed before, and orders received by traders before and after. Weaving factory orders delivery is also based on warehouse inventory, only special specifications of grey fabric need to be woven.

Therefore, at present, there are not many executable orders on hand, most of which can last for 10 days. However, some manufacturers have received new orders this year during the period of production suspension and after resumption of work, and the number is also considerable.

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Price of grey cloth of some manufacturers increased by 0.1-0.4 yuan / meter

Market transaction atmosphere is active, accompanied by some manufacturers to increase the price of grey cloth. According to the survey, the price of some grey fabrics has increased by about 0.10-0.40 yuan / meter in recent days, and the increase of some varieties is even higher. According to the law of previous years, grey cloth will usher in a round of price increase after, this year is no exception. Although the raw material price is low, thanks to the low production capacity of the whole weaving Market and the shortage of some products, the weaving boss took advantage of the trend. In addition, some grey cloth traders took the opportunity to store and eat goods, and then sold them at a high price, so the price of grey cloth in the whole market was raised.

Another part of the reason for the rise in grey cloth price also depends on the cost. Although the whole country has returned to work, but the epidemic is not over. When workers from other places return to the Soviet Union, the enterprises need to bear the road expenses, accommodation expenses, etc. of the employees, and also bear the major responsibility for the health of the employees, with great risks. In addition, the cost of weaving enterprises will increase when the loom is full open at low production capacity.

Price rise in logistics and transportation

In terms of logistics, it has basically recovered, but some transportation costs have also risen. The increase is mainly due to the shortage of workers and the increase of wages, which leads to the increase of handling cost of grey cloth and the increase of short-distance transportation cost of goods.

But most of the manufacturers reflect that the logistics cost has not changed, which is consistent with the price before this year.

There is a slight discount in the cost of electricity for enterprises

When it comes to cost, whether the cost of weaving enterprises will increase or decrease in the near future has also been investigated. During the shutdown period, there have been calls for rent reduction from landlords, but not many of them have been implemented in weaving factories. Then there was news of the price reduction, but through research, the price was not reduced, even if there were a few enterprises.

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The future market may gradually turn cold

Although the cost side of textile enterprises has little impact, does it have an impact on the order receiving in the traditional peak season? Textile people also give different answers, good or bad, each opinionated. Mr. Ji, who is in charge of a printing and dyeing trade factory, said: "recently, there have been a lot of lists in our factory, and the market is showing signs of recovery, but most of them are orders that have been overstocked a while ago. After this wave of market, the market behind is expected to turn cold again. After all, this is the demand of this market, and after capacity recovery, it is far greater than the demand! "

The optimism for the future market is partly due to the fact that there are signs of the previous year's "gold, silver and four" boom in the near future, and it will take time for production capacity to recover, and the real end of the epidemic is also unknown. This wave of market may last for the first half of the year. Wang Zong, the owner of a weaving factory specializing in conventional varieties, said: "the recent market is very hot, but it can't be compared with 2018, and the price is far behind. According to the current trend, the market in the first half of the year should be OK, but it's not good in the second half of the year."

Under the epidemic situation, textile enterprises started in an orderly manner and the market trading atmosphere was active, which brought confidence to the whole market and also promoted the enthusiasm of weaving enterprises, so the production capacity was gradually restored. Although the future trend is not clear, but for the order has a certain boost.