Domestic Textile And Garment Exports Increased By 69% Over The Same Period Last Year, Far Exceeding Market Expectations.

After January 2013, as the price of foreign cotton rose, and the price of domestic a href= "//www.sjfzxm.com/news/index_q.asp" > cotton < /a >, the price gap between them continued to shrink.

From the beginning of this year, the highest price difference of 5270 yuan / ton dropped to the current 3700 yuan / ton, a drop of 30%.

< p > according to foreign institutions, the global cotton output in will drop by 7% compared with the same period last year, and the demand will rise by 2%, which will further promote the strengthening of foreign cotton prices.

As domestic and foreign cotton spreads continue to shrink, color < a href= "//www.sjfzxm.com/news/index_cj.asp" > spinning < /a > enterprises will benefit.

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Wu Xiaoyu, an analyst of textile and garment industry, said that the cost of yarn is more than 75% because the raw material of colored spinning is mainly cotton.

In addition, the proportion of direct and indirect exports of color spinning enterprises is as high as 70%, plus the reference price of foreign cotton for foreign orders, and the narrowing of domestic and foreign cotton prices will drive the export price of products of colored spinning enterprises to increase.

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< p > "the smaller the price difference between domestic and foreign cotton, the better for the company."

Zhou Liwen, a representative of the securities business, said in an interview with the Securities Times reporter that at present, the proportion of products directly exported by the company is nearly 50%, and the domestic sales to various processing plants will eventually be exported in the form of terminal products.

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< p > data show that from the scale of production, the blong Oriental and Huafu color spinning (002042) have their own capacity of 800 thousand and 1 million 250 thousand spindles respectively, which occupy 41% of the total production capacity of the colored spinning industry, accounting for 36% and 56% of the high end color spinning production capacity.

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"P > 2012, affected by downstream demand, product price reduction and high cost inventory, the two companies operated under pressure, and their performance declined sharply last year.

Entering the 2013, high priced inventory commodities and raw materials have basically been digested, and the price of cotton is relatively stable. The price of colored spun yarn has begun to rise and stabilize this year.

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< p > besides, in February this year, textile a href= "//www.sjfzxm.com/news/index_f.asp" > clothing < /a > exports amounted to US $16 billion 400 million, an increase of 69% over the same period last year, far exceeding market expectations.

The revival of the textile industry is accelerating, and the growth of orders is expected to pick up again for the colored spinning enterprises.

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