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Market sentiments of VSF to improve by August
Apr '09
Shandong Hailong believes that it will be very difficult for viscose prices to move northwards before August, but they are expecting a small adjustment in prices before the prices rebound in the second half of 2009.

China's revitalization plan for the textile industry focuses on development of special chemical fibres and those companies which have made significant contribution in domestic production of viscose staple fibers will probably get support.

But market demand remains a key factor in industrial performance and to effectively deliver results as per the objectives of the revitalization plan will possibly be a long-term task, considering the environmental problems caused by viscose production.

Viscose staple fiber is widely used in a variety of clothing, from men's, women's, children's clothes, casual wear to suits and underwear and in the process viscose staple has become most important raw material for textiles after polyester and cotton.

Once the industry recovers, demand growth for viscose staple fiber will be significantly larger than filament. Prices of viscose are currently ruling at lows due to poor demand, which in turn becomes difficult to improve efficiency.

Fibre2fashion News Desk - China

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