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Cotton Prices Rise Warning Terminal: Low Clothing Prices Rose More Obvious

2010/10/14 18:31:00 70

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Cotton Price Clothing Consumers

During the National Day holiday, many public clothes, household

Spin

The prices of goods have gone up a lot.

The reason is ordinary.

Consumer

It is hard to know, and the textile and garment manufacturers that are familiar with the situation are facing a dilemma.

Without price increases, enterprises will not be able to continue in the future, and price increases will mean losing some consumers.

People in the industry are very clear about recent home textiles.

clothing

The rise in price is bound to be related to the change of domestic cotton prices.

In recent months, the rise in cotton prices has been called rocket speed. On the one hand, due to widespread low-temperature weather in the main cotton producing areas in the first half of the year, disastrous weather in some areas, slow growth of cotton and overall growth are worse than usual. On the other hand, the demand for textile industry in the lower reaches has rebounded strongly, which has increased the supply gap of cotton.

Although the price of cotton began to rise six months ago, the price of these two months has increased significantly as the summer and autumn wear and market demand is higher.

Especially since August, cotton prices have been rising rapidly.

Affected by this, the prices of raw materials such as cotton, cotton and other textile and garment processing have also risen, and cotton yarn prices have risen to 22 thousand yuan / ton from 17 thousand yuan / ton in the same period last year.

Affected by this, many textile enterprises have already been very anxious to purchase raw materials.

However, the rise in cotton prices has little impact on brand clothing and home textiles.

For middle and high-end brand clothing, the rising cost of raw materials can be digested in other circulation links, and has little effect on the terminal market.

For example, a three hundred or four hundred yuan jeans will cost more than ten yuan and will not have much impact on the retail price.

Compared with the high-end clothing, the price of low-grade clothing is rising more obviously.

According to the insiders, in the clothing industry, the middle and low grade clothing is facing the largest number of consumer groups, the largest sales volume, and the relatively small profit; the high-end clothing is on the contrary, plus the consumer group is relatively fixed, the competitors are relatively few, there is no need to adjust the price to ensure profits.

The rapid rise in prices of raw materials such as cotton can not directly lead to the rise in prices of home textiles and clothing.

The degree of impact of different grades of products is still quite different.

Low value-added products have low added value, and their main competitive advantage is low price, which is greatly influenced by the market situation.

As the price of cotton rises this time, the low-end clothing and home textiles have greatly improved from the cost of production to the final selling price, and the business is relatively hard to do.

And the brand strategy of middle and high grade products, their high added value is mainly reflected in product design, research and development, promotion and brand culture. The proportion of raw materials in the whole product cost is relatively low, which is less affected by cost changes.

Compared with the rise of raw materials, the sharp rise in human resources costs is the main reason for the increase in production costs of garment processing enterprises.

It is understood that this year, the proportion of high and low grade clothing products in Guangdong will be fundamentally adjusted, increasing the pformation of mid-range products to high-end products, so that the proportion of mid-range products will exceed that of low-grade products.

The industry expects that with the coming of new cotton after September, the impact of high cotton prices on this winter clothing and other textile and clothing products will be more obvious.