Domestic Cotton Textile Industry Is Expected To Speed Up Development.

Cotton price decline

The price of cotton is regulated by the market, the difference between domestic and foreign cotton prices is narrowed, and the competitiveness of textile enterprises is enhanced.

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Since the implementation of the cotton temporary purchase and storage policy in 2011, China's cotton prices have begun to break away from the market volatility. The price of pure cotton yarn in India, Pakistan and other countries is much lower than the price of China's yarn, and even the price of pure cotton yarn in some countries is almost the same as that of cotton in China. The competitiveness of domestic cotton textile enterprises has been seriously weakened.

Fortunately, national adjustment was made last year.

Instead, the domestic cotton price will be returned to market.

The implementation of cotton direct subsidy policy made domestic cotton prices plummeted, from 19000 yuan / ton in early 2014 to 13000 yuan / ton, and the difference between domestic and foreign cotton prices gradually returned to a reasonable range.

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Starting from this year, China's textile enterprises will no longer be distressed by the high price of raw materials. The state will carry out target price reform on cotton, and the gap between domestic cotton prices and international cotton prices will be smaller and smaller, and the profits of domestic textile enterprises will gradually increase.

However, some enterprises have said that the decline in cotton prices has led to the depreciation of finished product inventory of textile enterprises. At present, the operation of enterprises is still not optimistic.

According to the insiders, the fall in cotton prices did drive yarn prices down, but the decline of yarn is less than cotton prices. So in the long run, the profits of enterprises will continue to increase.

Take combed 40S yarn as an example. Since 2014 9~11, the price of combed 40S yarn has dropped by 2900 yuan / ton, or 10%, while cotton price has dropped 3400 yuan / ton during the same period, or 20%.

Therefore, increasing the yarn profits of textile enterprises will help improve the business situation of the enterprises.

However, because the increment of downstream demand has not yet appeared for a while, the stimulation to the cotton market is not yet reflected.

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Quality improvement

High quality and high price of cotton, guide cotton growers and cotton processing enterprises to improve the quality of planting and processing.

China's cotton in Xinjiang is a symbol of high-grade cotton, but in recent years, the implementation of temporary storage and storage policy has brought about high yield and high yield. Cotton farmers only pay attention to output, which causes the quality of cotton in China, especially Xinjiang cotton, to decrease significantly. In order to increase the storage capacity, some cotton ginning plants have mixed some low grade cotton with high grade cotton to lower the quality of high-grade cotton. The quality of cotton has become the primary concern of textile enterprises.

The problem of foreign fiber in Xinjiang cotton is very serious this year, especially the machine picked cotton, which contains a lot of impurities, which brings great trouble to the production of textile enterprises.

At present, China's cotton textile industry continues to develop to high-end products, and in the case of long-term oversupply of cotton in the world, upgrading cotton quality and improving cotton processing quality has become an urgent problem for the industry.

To improve the quality of cotton, it is very important to adhere to market-oriented operation and achieve high quality and high price.

In 2014, with the promotion of the direct subsidy policy in Xinjiang, cotton prices gradually changed to marketization, and the sale and processing enterprises consciously classified the cotton grades to improve their efficiency.

In particular, the cotton professional warehousing system is supplemented by the mode of testing in the warehouse notary, which effectively safeguards the consistency between the public inspection sample and the cotton bag sample, thus playing a better effect in optimizing the quality of cotton products.

Since the implementation of the professional supervision and warehousing system, the cotton inspection data is reliable and reliable. Enterprises can purchase cotton linen according to the fiber inspection certificate, and solve the problem of inconsistent cotton index and weight in the past few years, and also provide a reliable and reliable basis for cotton spinning.

Industrial upgrading

Enterprises accept the baptism of market-oriented reform, the elimination of medium and low grade products, and the acceleration of industrial pformation and upgrading.

In recent years, China's industry is in the stage of upgrading the whole industry. The cost of all kinds of production factors is rising continuously, and the downstream market is depressed, which makes the whole cotton textile industry in a low period.

However, the industry has already reached a consensus to speed up pformation and upgrading, improve product quality and improve labor productivity, which is an urgent task for cotton textile enterprises.

Deputy director of the consumer products division of the Ministry of industry and Commerce said that China's cotton textile industry should improve the labor productivity and product quality level and improve the demand for industrial structure.

At the same time, we should further strengthen management innovation and technological innovation, eliminate extensive production mode, and enhance the competitiveness of the textile industry by improving the added value and brand.

In fact, in the era of difficulty in harvesting and throwing away the industry, cotton textile enterprises have not stopped the pace of technological progress and industrial upgrading. Instead, enterprises have worked hard in order to better survive, in terms of management innovation, cost reduction, efficiency improvement and process reengineering.

It can be said that after several years of training, China's cotton textile enterprises have greatly improved their management innovation, reduced production and efficiency, improved labour productivity and improved added value of products, and the speed of industrial pformation and upgrading has accelerated significantly. With the change of industry factors, China's cotton textile enterprises will realize the real pformation and upgrading of industries through structural adjustment.

Environment optimization

The reform of "high levy and low deduction", the improvement of cotton policy, and the optimization of the survival environment of textile enterprises are constantly optimized.

In 2014, a major change in the policy of the cotton textile industry was to solve the problem of "high levy and low deduction".

As early as the beginning of last year, Anhui province took the lead in putting lint and cotton yarn into the pilot scale of approved value-added tax of agricultural products.

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In addition, the director of the economic and trade division of the national development and Reform Commission said that 2015 is the first year of implementation of the cotton direct subsidy policy, and that the cotton policy will continue to improve. The state will continue to strengthen market supervision and create a fair market competition environment for enterprises.

Cotton is one of the main raw materials used in processing and production of cotton textile enterprises. Therefore, the "high tax and low deduction" of value-added tax and the cotton policy have great influence on cotton textile enterprises.

With the gradual solution of the problem of "high levy and low deduction" and the continuous improvement of cotton policy, the tax pressure of cotton textile enterprises in China will be reduced, the survival environment of enterprises will be optimized continuously, and the development environment of cotton textile industry will be more relaxed.

Prospects for China's cotton textile industry in 2015

Policy support

A series of preferential policies were introduced, the burden of enterprises was reduced, and the speed of industrial development was accelerated.

Xinjiang cotton textile industry development plan puts forward that in the next 10 years, Xinjiang will develop to 20 million spindles of textile scale, and Korla will build 10 million spindles to occupy half of the whole territory.

With preferential policy support, domestic cotton textile giants such as Fu Li Da, Jin Fu and Xinhua source have been settled in succession.

It is worth mentioning that supporting Xinjiang's development of the textile and garment industry to promote employment is the important decision making made by the second central Xinjiang working forum, that is, from 2015 to 2018 for 4 consecutive years, the state will allocate special funds to support the development of Xinjiang's textile and garment industry.

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At present, the Ministry of finance has promulgated policies and measures for value-added tax return of textile and garment enterprises in Xinjiang. At the level of the autonomous region, a series of specific policies and measures such as freight subsidy for deep-processing products of textile and clothing, cotton subsidies by cotton textile enterprises, and freight subsidy standards for Xinjiang cotton yarn are also put forward at the autonomous region.

With the support of various policies, the development speed of China's cotton textile industry will be significantly improved.