Cotton Price Difference And Order Outflow Lead To Severe Export Situation In The Textile Industry

Since this year, the export situation of the textile industry has been grim, and no fundamental improvement has been seen. The gap between the growth rate of exports and that of the whole country has widened. The reporter recently learned from a survey in Jiangsu that textile enterprises generally have the problem of insufficient orders. Wang Tiankai, president of China Textile Industry Federation, believes that export pressure mainly comes from Cotton price difference And order outflow.

According to the data released by the General Administration of Customs, in the first half of this year, China's total import and export value was 1839.84 billion US dollars, up 8% year on year. Among them, China's exports reached US $954.38 billion, up 9.2%.

According to the data released by the Operation Monitoring Coordination Bureau of the Ministry of Industry and Information Technology, the export volume of textiles and clothing in the first half of the year increased by 1.3% and 1.9% respectively year on year, down 0.1 and 2 percentage points respectively from the first quarter.

Wang Tiankai said that although the export of the textile industry grew slightly in the first half of this year, the growth rate continued to decline, and the gap between this figure and the national export growth rate was increasing.

"The pressure first comes from the difference between domestic and foreign cotton prices." Wang Tiankai said that at present, the continuous expansion of the difference between domestic and foreign cotton prices has weakened the international competitiveness of the textile industry. Due to the lack of demand in the international market, since September 2011, the international cotton price has fluctuated and dropped, widening the price gap with the domestic market.

The fluctuation of cotton price difference has actually affected cotton spinning, chemical fiber and other related industries. with chemical fiber For example, in the first half of the year, the benefits dropped by about half.

In addition to the cotton price difference, the further weakening of textile competitive advantage can not be ignored. In particular, the processing orders of medium and low-end products are constantly transferred to neighboring countries, and the transfer progress is increasing. Due to the rise of comprehensive production and operation costs, China's traditional textile competitive advantage has weakened, and orders have been transferred to India, Vietnam, Cambodia and other surrounding countries.

Jiangsu is a textile industry cluster. At present, the textile and clothing enterprises here are suffering from the plight of insufficient orders in a large area. "Now it is time to step back and hand over the textile industry to others." Xie Ming, president of Jiangsu Textile Industry Association, said, "Cost competitive advantage is no longer a magic weapon in the market, and the opportunity to occupy the market with 'road goods' will be smaller and smaller."

China Textile Association predicts that China's textile and clothing export situation will continue to be severe. In order to ensure that the textile industry continues to realize stable operation, China Textile Union proposes to adopt the way of financial subsidies when storing national cotton, implement price limit and store cotton, and narrow the price difference between domestic and foreign cotton. Accelerate the reform of the cotton circulation system, improve the cotton macro-control mechanism, and realize the marketization of domestic and foreign cotton prices.

At the same time, it is hoped that the country will introduce further industry support policies to reduce Textile enterprises Capital chain risk. For the industry itself, it is also necessary to accelerate the transformation and upgrading, move towards the high-end of the industrial chain, and enhance the core competitiveness and the ability to withstand the crisis.