India'S Loosening Of Cotton Export Policy Is Conducive To Shaoxing Textile Enterprises

According to Pakistan's "business Chronicle" 18 quoted the India government announcement reported that the India government will cancel.

Suffering from rising cotton prices

Since the beginning of this year, the rise in cotton prices has been affecting the downstream.

The rise in cotton prices has led to uncertainty in the price trend of cotton yarn. For this reason, the cotton yarn contract which used to determine the price in the past year, since April this year, the cotton yarn supplier of Fuxing textile has asked to change it to a monthly contract, and the price of cotton yarn is uncertain, which directly affects the pricing power of "Fuxing spinning" fabric.

"For enterprises, stabilizing prices is the first place. Cotton prices fluctuate so that the risk of our textile enterprises is significantly increased."

Weng Rentu said frankly.

India cotton

It can make up for domestic shortage.

The Shaoxing Huatong color spinning Co., Ltd., located in Binhai Industrial Area, is the only storage bank of the reserve cotton in the province. It has 40 thousand tons of cotton storage capacity, and assumes the responsibility of storing cotton in Jiangsu and Zhejiang provinces, and accumulatively stores 37 thousand tons of cotton for the country.

According to the instructions of the China cotton reserve management company, since August 10th, the storehouse has been sold on a daily basis of 400 tons. So far, more than 6000 tons have been sold, and the total planned sale is only 12 thousand and 300 tons of cotton, far lower than the total volume of 18 thousand tons last year.

"This is related to the tightening of domestic cotton supply this year," the analysis of insiders pointed out that the main reasons for the recent rise in domestic cotton prices in China are domestic demand, and two because of the 14.6% reduction in cotton production in China last year, resulting in tight domestic cotton supply this year.

"At this time, India's relaxation of cotton export policy can alleviate the contradiction between supply and demand to a certain extent."

The industry said.

"India's abundant cotton output coupled with the relaxation of export system is undoubtedly good news for our cotton spinning enterprises.

China's cotton imports rely heavily on imports from India, and India's abolition of the cotton export permit system relieves the pressure on the shortage of cotton reserves in China.

Shaoxing customs related staff analysis said.