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2010 International Textile Events Focus On Raw Material Crisis

2010/12/29 15:05:00 31

2010 International Textile Raw Materials Crisis

In the first half of 2010,

Global textile

The industry has not yet come out of the haze of the financial crisis. The turmoil in European financial markets caused by the debt crisis in Greece and Spain and the continued fluctuation of the US dollar exchange rate once again make countries.

Textile manufacturing

Businessmen strain nerves.

By contrast, the impact of rising prices of raw materials on textile industry has been more and more rapid and direct. The price surge has almost spread to all raw materials and even the terminal market of the textile industry. Raw material prices such as cotton and other natural fibers have reached the highest level in more than a decade.

When the demand for the terminal market flourishing, coincides with the continuous reduction of raw materials over the years, the huge imbalance between supply and demand makes the raw material crisis come to light.

Event tracking:

India restriction

Cotton export

Facing the continuous decline of textile raw material output and the high price, the major textile consuming countries and production countries are in their respective ways to resolve the impact of shortage of raw materials.

As one of the main textile producing countries in South Asia, India has taken restrictive measures for cotton export in order to ease its domestic raw material supply pressure.

In April 20th, the government of India announced a suspension of the registration of cotton export licences.

Insiders immediately pointed out that India's action could trigger global price increases and weaken the competitiveness of neighboring Pakistan and Bangladesh in the international textile market.

Obviously, this move led India to become a participant from the victim of the raw material crisis.

As the second largest exporter of cotton in the world, this undoubtedly exacerbated the tension in the global supply of raw materials.

Although the India government has already lifted the restrictions on cotton exports on the grounds of safeguarding the interests of India cotton farmers, the impact of shortage of raw materials is still spreading. The prices of natural fibers such as cotton are hard to come down. India has played a role of "pushing hands" in this raw material crisis.

Lan Jing increases product price

Six months ago, we may be wondering how long the upstream raw material price will go to the terminal market.

Now, from the momentum of price increases by the major textile manufacturers at the end of the year, the impact of rising raw material prices on the fabric and clothing enterprises in the middle and lower reaches of the textile chain is an indisputable fact.

At the beginning of December, the Austria Lenzing Co announced that the price of cellulosic fiber products had been raised by 10% since 2011, and the price increase products were related to textile fibers and nonwoven products.

A Lenzing Co spokesman said the price increase was driven by a sharp rise in the cost of raw materials.

Since the middle of this year, prices of cotton and polyester products have continued to rise. In order to maintain the stability of market prices of the products of Lan Jing modal and Tencel products, the company tries to digest the impact of raw materials as far as possible.

By the end of the year, the prices of pulp and chemicals necessary for the production of viscose fiber, modal fiber and Tencel fiber were increasing.