Cotton prices fall sharply in fall prices

The price of cotton at the beginning of this year was as high as 31,000 yuan per ton recently. It dropped to a minimum of 17,000 yuan per ton of autumn prices, but it rose by a couple of percent. The business club reported on September 7th that autumn rain was thick, and the coolness was getting stronger and autumn was selling hot. However, the careful Zhengzhou citizens will find that the autumn clothes in the shopping mall are worth 12% more than last year.

In March this year, the price of cotton was a high level of diving, falling from a high of 31,000 yuan per ton to around 24,000 yuan per ton, and another road stumbled down to today's 19,000 yuan per ton, the lowest fell to 17,000 yuan per ton.

The price of cotton has plummeted by 45% to 50%. Why does the autumn outfit with cotton as the main raw material not rise or fall?

Look at the market wholesale market: fall prices rose 10% to 20%

Yesterday at 6 o'clock in the morning, despite the continuous autumn rain, the silver-based clothing wholesale market was still very lively. North and south merchants who came here to purchase goods were picking goods.

Zhou Mei is a clothing distributor in Pingdingshan, mainly engaged in Hangzhou-based women's wear. In her eyes, the wholesale price of autumn clothes just listed this year is 5% to 10% higher than last year. Many wholesalers in the silver-based market stated that the price they received from manufacturers this year rose by about 5%.

Do not underestimate this small 5%, these autumn loaded to major shopping malls and clothing stores, its price increase in the 10% to 20%.

Mall: Selling 180 yuan last year and selling 238 yuan this year last Sunday. It was a bit cool and raining. Li Yang, who lives on Garden Road, went to the mall to buy autumn clothes for the family. The same brand of children's T-shirt 179 yuan, and in previous years, such a piece of clothing will not exceed 150 yuan; men's long-sleeved cotton shirts 299 yuan, a trousers also have more than 300 yuan, are up more than 10% last year.

In Bauhinia Department Store, the latest models of Qiuyi Qiuku are already on the counter. Salesman took out a set of cotton Qiuyi said: This set of this year's price is 238 yuan, and this time last year, 180 yuan will be able to buy.

The brand's agent Ms. Huang also represented several brands of underwear. She told reporters that this year's fall has generally risen by 10% to 20%.

Since last week, major shopping malls in Zhengzhou have been basically in the market for summer wear, and the number of autumn clothes has accounted for more than 90% of the market's clothing. Many dealers said that they will wear more fall clothes this year than they did last year.

Taking a men's jacket as an example, the autumn of the same fabric sold for 499-599 yuan last year, and you have 15% more this year.

Check the reasons for the fall of the use of high-priced cotton is no doubt that this year's fall prices. But another obvious fact is that the price of cotton, the main raw material of clothing, began to fall all the way after reaching the peak at the beginning of this year, and it dropped from the highest point of 31,000 yuan per ton to the lowest of 17,000 yuan, a drop of more than 40%.

Why is the price of cotton as a raw material plummeting and the price of clothing going up?

According to Li Gang, vice chairman of the Henan Garment Association, the garment industry knows that the production cycle is one to two quarters ahead of schedule, that is to say, the raw materials used in the autumn clothes listed today are high-priced spring cotton, that is, the current The drop in the price of cotton is far from being transmitted to the finished garments. The real benefit of cotton prices should be winter clothing or next spring clothes.

Li Xiuming, secretary-general of the Provincial Textile Information Association, said that last year was a good day for cotton textile companies. The price of cotton rose sharply and cotton yarn was in short supply. Therefore, many cotton companies have accumulated a large amount of cotton, and the cotton price was about 30,000 yuan per ton.

Not expecting that the cotton price will soon fall, leaving cotton textile companies unprepared. "Inventory of so many high-priced cotton, these companies must first digest this part of the inventory." Li Xiu-ming said that the raw materials used in the autumn market is now part of this high-priced cotton fabric, from a cost perspective, 18,000 yuan per ton Low-cost cotton companies have not yet used them.

The impact of human cost over cotton prices In addition, with people's attention to clothing brands and models, the impact of fabric prices on clothing is declining.

"The cost of fabrics generally only accounts for two or three percent of the cost of garments, so the fluctuation of cotton prices is not a fundamental factor affecting garment prices." Chen Yongbin, chairman of Zhengzhou Lingxiu Clothing Co., Ltd., said that there are many factors that affect garment prices, such as labor costs. The rising labor costs in these two years have greatly exceeded the momentum of cotton.

Mr. Bosideng Agent Bags said that in the clothing brands in the south, the increase in labor costs has caused companies to overeat. "A similar down jacket was created. The labor costs last year and this year were an increase of 30 yuan from the previous year."

In the interview, many clothing brand agents stated that all kinds of raw materials are now rising, ranging from small buttons to large rents and labor costs. Operators' expenses have been rising, and the price of clothes has also risen. Since the beginning of this year, the labor cost of many companies has risen by about 30%. In the future, the expectation that the decline in cotton prices will reduce the cost of enterprises has been defeated by the increase in labor costs.

Affecting a large number of apparel companies to reduce orders for cotton prices not only did not fall this year's fall prices, but also brought another one consequence: Many clothing companies began to reduce orders.

Jin Xuefu, president of the Zhengzhou Garment Merchants Association, said that this is a law in the garment industry. The more cotton prices are rising, the more orders are placed, because downstream customers are worried that cotton prices will continue to rise, so they will quickly place orders for garment companies to increase cotton prices. The cost of the transfer to the clothing business. When the price of cotton fell, the downstream customers took a wait-and-see attitude, expecting the cotton price to stabilize when the order was placed, still to reduce costs.

As a result, garment companies have suffered from their enemies, taking greater risks in the textile and apparel industry chain.

However, insiders said that in order to avoid the cost pressure brought about by the ups and downs of cotton prices, many apparel companies have begun to find ways to find alternatives, such as the use of new materials and new technology to replace cotton consumption, the use of relatively low prices of polyester and other chemical fiber Raw materials to reduce costs.

The person in charge of a number of garment enterprises in Zhengzhou stated that consumers are not fussy about what fabrics they use. In contrast, consumers value the style and design of their garments and their production processes. This is exactly what garment companies dare to try new fabrics. s reason.