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Price advantage supports China's increase of cotton yarn imports


http://www.texnet.com.cn  2012-04-10 08:40:49  来源:ccfgroup 收藏
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China imported 123,500 tons of cotton yarn in February this year,showing an increase of 72.36 percent compared with the previous month, and 122.37 percent from the same period last year, according to the latest statistics of the General Administration of Customs.

China exported 28,500 tons of cotton yarn, representing an increase of 18.90 percent from the previous month and an increase of 12.90 percent compared with the same time last year; net imports grew 9.51 million tons, showing an increase of 99.16 percent from the previous month and an increase of 213.29 percent year on year.

Analysts say that price advantage gave support to import increase, plus China’s cotton purchase and storage is near completion, the unilateral high cotton price may again activate imports of gray fabrics, which will combat domestic spinning mills.

China’s purchase and storage price for domestic cotton at 19,800 Yuan per ton has caused price formation between domestic and international cotton upside down and the spread is widening. Many companies are unable to purchase low-cost international cotton, due to quota restriction. The huge difference between cotton costs severely affects international competitiveness of China’s cotton textiles, while India, Pakistan, Vietnam and other countries are taking the advantage to seize a lot of market shares.

At present, imported cotton yarn is 1000-2000 Yuan / ton cheaper than domestic cotton yarn, especially imported cotton yarn of 32s and below 32s show more advantage over domestic cotton yarn, China’s textile companies rather choose to purchase imported cotton yarn in considering the cost, although demand on domestic textile market is not ideal.

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文章关键词: Price advantage  cotton yarn  imports 
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