Henan: Cotton Yarn Price Rises, Cotton Enterprises Purchase Mainly By Machine

Since December, the business situation of textile enterprises in Henan has improved, and the downstream goods are actively taken, and the cotton yarn prices continue to rise.

The head of a local textile enterprise told reporters that since December, the local cotton yarn market has improved, and the market is almost the same as that in early October. The inventory of textile enterprises is low and the downstream goods are actively taken, which leads to the continuous rise of cotton yarn prices. This paper analyzes the reasons for the rise of cotton yarn price: first, the price of Zhengzhou cotton futures has been increased; second, the downstream enterprises have strong willingness to prepare goods in advance near the end of the year, and actively purchase and mainly purchase spot goods.

Up to now, the company mainly produces semi combed 40s at a price of 26200 yuan / ton, mainly sold to Guangdong and Zhejiang. The person in charge of the enterprise said that at present, most of the lint procurement is mainly machine picked cotton. First, the price of machine picked cotton is lower than that of hand picked cotton; second, with the gradual acceleration of mechanization process in Xinjiang, the area of machine picked cotton is increasing year by year, resulting in less and less hand picked cotton. It is understood that the purchase price of raw cotton of the enterprise is basically around 14900 yuan / ton ("double 28", mainly including impurity less than 2).

The head of another local textile enterprise said that affected by the epidemic situation at the beginning of this year, the enterprise's capital turnover was difficult, and the enterprise was mainly engaged in external processing and production. Although the enterprise funds are difficult, but the enterprise yarn and raw material inventory is not big, basically adopts the way of purchase with use. With the increase of orders, the enterprise is also gradually recovering. At present, it mainly produces combed 32S and 40s.