Cotton Price Ups And Downs Disrupt Export Orders

Sales of Christmas toys and gifts in Europe and America are good. Many overseas buyers are interested in continuing to replenish orders.

But price is a problem.

After returning from the 108th Canton Fair at the end of this month, Liu Ziqin, director of Nanjing Tengsheng Toys Co., Ltd., has been unable to finalize the price of toy orders with purchasers.

In an interview with the first Financial Daily reporters yesterday, she said that after many years of foreign trade business, she had never seen such a situation in November of this year. Because of the sharp fluctuations in the prices of raw materials, both sides were confused and did not know how to talk about the price of cloth toys.

"Christmas velvet toys sold in the US and Europe are basically shipped at the end of September, which is not affected by the price rise of cotton. The exports in the fourth quarter and the first quarter of next year will be significantly affected.

At the beginning of November, cotton prices went up day by day, and sometimes the price difference of one day reached 1000 yuan per ton. Because of the worry that prices continued to rise, some buyers accepted higher prices and made a small number of orders, but cotton prices continued to fall in recent days, and many customers were waiting for cotton prices to go down.

Liu Ziqin said.

The recent decline in cotton prices has made some garment exporters ahead of the purchase of cotton yarn and cotton cloth complain.

In the early November, cotton prices rose every day. Mr. Wang, who was doing garment export business in Guangzhou, was worried that the price of cotton should be increased to the customers every day, so he ordered 20 tons of cotton yarn to the factory.

He told reporters that the more than 10 days because of the decline in cotton prices, the order of the base is basically a few points of the loss, buyers saw the prices of raw materials, the price of the immediate pressure, he had no choice but to pick up the high prices in the hands of the purchase.

Zhong Hao Sen, general manager of Guangdong textiles import and export Limited by Share Ltd, also told us yesterday that the cotton price fell and the price of cotton yarn was lowered. The price of cotton yarn dropped from 11 yuan to 40000 yuan per ton to 36000 yuan / ton.

At present, there are only a few small businesses that can be discussed with purchasers. Large orders are still hanging.

According to the analysis of the industry, the supply and demand gap of the 2010 cotton year (September 2010 to August 2011) in China is about 4 million tons, and the tight cotton pattern is hard to completely change. The short-term cotton price adjustment will be greatly supported by about 27000 yuan / ton, and the middle and long term to 25000 yuan / ton will be a safe area actively bought by cotton enterprises. The cotton price will be hovering around 25000 yuan / ton in the coming months.