Cotton Prices Fall, Clothing Rises, Comprehensive Regulation, Beware Of A New Round Of Price Surges.

From last September to now, cotton prices and many farmers in China

From step by step to a straight line landing, from the 34 thousand yuan / ton in March this year, it fell to the lowest purchase price of 19800 yuan / ton in the national "2011 cotton temporary purchase and storage plan".

Get the cotton price on the roller coaster.

The reason for this phenomenon is mainly due to the oversupply of domestic market.

Cotton prices rose sharply last year, stimulating cotton farmers' enthusiasm for planting cotton, increasing the planting area of cotton, coupled with climate suitability, and domestic cotton production increased significantly.

On the one hand, the downstream cotton chain enterprises in the industrial chain are facing the pressure of rising costs. On the other hand, affected by the debt crisis in Europe and the United States, the world economy is slowing down. The global cotton consumption is not enough. The demand for imports from Europe and the United States has dropped.

In the face of falling cotton prices, the clothing industry has turned up.

Recently, several famous shopping malls in North City have been visited. The brands of autumn and winter have different gains, and some brands even rise to 40%.

A salesperson at the mall said: "this year's autumn winter coat and coat are generally rising, especially for women's wear brands. For example, the brand I sell, most of the winter wear has entered four digits from three digits."

"Clothing from design to order production generally takes three or four months, and most of the clothes made now are cotton this spring, so the current autumn and winter clothing is originally used for cost of cotton, not the cotton that is now depreciating.

Besides, rent and labor costs are rising. This year, the wages of workers in our factory have increased by 20%! "Ms. Zhong, who has been engaged in garment production and processing for many years, told reporters.

In order to maintain normal production operations throughout the year, spinning enterprises generally need to keep inventory for about two months. Last year, enterprises bought cotton for stock at a high price. This year, when cotton prices fell sharply, cotton stored in the early stage became a burden, which significantly reduced the profit margins of enterprises, together with the influence of labor costs and RMB appreciation.

As a result, slow inventory and weak demand have led to a rise in prices, so as to maintain the survival of enterprises.

Because of the "hot and cold" cotton prices have seriously affected the enthusiasm of farmers planting cotton, many cotton farmers said that next year will not continue to grow cotton.

The industry is worried that next year may start another round of rising cotton prices.

Cotton prices are mainly determined by the supply situation of the whole market. Therefore, the competent departments of agriculture in various regions need to make rational planning and scientific layout of cotton growers in the region, and establish a platform for market information disclosure as soon as possible, so as to form information docking between market information and planting conditions and prevent cotton farmers from following the wind.

In addition, the state should further improve the cotton market regulation mechanism, stabilize the market price of cotton, normalize the relevant measures, give full play to the backbone role of large enterprises, increase the state's control over resources, ensure market supply, and at the same time increase the capacity of purchasing and storage to a certain extent, so as to alleviate the imbalance between supply and demand in the market.

Comprehensive, multi angle comprehensive regulation of the market and supply and demand, to prevent the coming of a new round of price surges.