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Fabrics clothes export drops in October

27
Nov '08
According to the investigation of CCA, it is estimated that the national cotton production this year is 7.8 million tons.

From September to October of 2008, China import 225,000 tons cotton totally, drop by 39% compared with the same period of last year; The fabrics production and export growth rate slowed down continuously, the yarn output adds up to 3,770,000 tons, increase by 8.8% compared with the same period of last year, the acceleration rate drops by nearly 2.4 percentage compared with the same period of last year; The clothes and garment export adds up to 34,800 million dollars, increase by 6.7% compared with the same period of last year, the acceleration rate drops by 16 percentage compared with the same period of last year.

It's estimated there still is a gap to the domestic cotton in whole year, but influenced by fabrics selling not smooth, cotton demand reduced, cotton deal is light at present, price drop by a wide margin continuously, the year average selling price of standard grades cotton is 12760 yuan per ton, drop by 5.7% compared with the same period of last year.

In October, the cotton of our country is in bolls opening period, except the last ten days of that month appear continuously overcast and rainy in the Yangtze River valley which influenced the cotton picking, it is fine in other cotton districts, the cotton picking progress is smoothly, and already draw to an end at the end of the month.

According to the investigation of China Cotton Association, by the end of October, 88.5% of cotton has been harvested, up by 2.2% from last October. But because of dropping procurement price, the processing enterprise purchases prudently, some areas have already appeared cotton selling difficult problem, the cotton grower presents discontented mood, seed-cotton sale progress is unusually slow.

By the end of October, only 33% has been sold, drop 24 percentage point compared with the same period of last year. The month average selling price of seed cotton is 5.22 yuan per kg, down by 0.75 yuan or 13% from last year.

The ginned cotton selling almost stagnated in October, selling price and cottonseed price continue dropping, the profit of processing enterprises is further compressed, the cotton price of purchased in earlier stage has already been cut down, some enterprises stop accept and just look around, seed-cotton purchasing market is more depressing, except Xinjiang's progress little fast, the other areas make no progress.

Monitored by CCA, nearly 40% enterprises have not operated yet, nearly 10% of the operating enterprises suffer the loss and stop accepting too. The average seed cotton purchasing price of standard grade is 5.23 yuan / kilogram transfer to ginned cotton price is 11391 yuan / ton (excluding the processing charges), drop by 0.25 yuan per kg from last month.

As the international financial crisis continues spreading, the main fabrics and clothes importer consumption increasing obviously slow down, even negative growth, the fabrics clothes export of our country falls 3 month in sequence, the export is 16,750 million dollars in October, down by 7% from last month. Meanwhile, domestic consumption is difficult too, the yarn output is 1.861 tons, down by 2.3% from last month, the sale is still depressing, and the price drops with the price of the cotton too. The textile enterprise just keep the basic producing and looking around, purchase rarely, the price falling speed continues accelerating.


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