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Hike in raw material prices brings cost pressures
23
Jul '10
Cotton prices in China have soared from around 10,000 Yuan per ton since 2009 to the highest level of 18,000 Yuan per ton, which has affected business sentiments greatly.

As new cotton begins arrivals into the market in October, enterprises mainly based on cotton will face heavy cost pressures in the second half.

In the case of chemical fibre products too, prices have skyrocketed to high levels and most of the downstream companies have faced severe cost pressures.

Prices of Chinese polyester chips which ranged between 5,500-8,900 Yuan / ton in the first half of last year, were quoting at 10,000-11,000 Yuan / ton, in the first half of the current year.

Fibre2fashion News Desk

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