This weekend, the editor’s circle of friends was flooded with snow. Almost all my friends in the south were shouting for one thing: snow! Snow! Got it!
For southerners, seeing snow is very exciting! Many children and adults went out to have snowball fights and build snowmen…
While snow brings us joy, it also Brings the cooling down!
The textile man said that the weather at this moment is just like my mood, chilly!
Last week, stimulated by the good news from the G20 summit, the average production and sales of polyester manufacturers last Monday (December 3) were as high as 400 %, and even a 600% good market. For a time, everyone was full of confidence and had a premonition that a good market was about to happen. Following this, the price of polyester yarn also generally increased by 100-200 yuan/ton. However, by last Friday, polyester production and sales had dropped back to normal levels, and the so-called good market seemed to be just a “flash in the pan”…
In the first half of the year, I made all the money in the second half of the year
Boss Bu generally reflects that the market will be relatively sluggish in the second half of the year, whether it is domestic trade or foreign trade. It seems that they were all overdrawn in advance by the hot market of “Gold, Three, Silver and Four” in the first half of the year…
In the second half of the year, it is rare for the fabric market to have any hot-selling varieties, and even if there are, they will only be popular. A while. Boss Bu generally reported that most of the orders were completed in the first half of the year. In addition, the raw materials in the second half of the year surged and plummeted, diluting profits. Some orders really had no profit, and they were abandoned if they could not reach an agreement.
The traditional peak season of gold, nine and silver has also deteriorated, not to mention that it is now December, which is the real off-season, and the orders have basically been completed. Although the trade between China and the United States has eased, which will help the issuance of U.S. orders, the benefits are not obvious so quickly. We won’t know whether the foreign trade situation will improve until at least the first half of next year.
After a whole year of hard work, the money is still floating around.
Everyone who makes textiles knows that selling cloth is often done on credit. During the “Gold, Three and Silver” period in the first half of the year, the market was hot and it was hard to find a piece of cloth. The market entered the “seller’s era” and buyers could not get the goods even if they “brought money to pick up the goods.” However, in the second half of the year, the market was sluggish and the market competition was fierce. Many companies adopted credit sales strategies to attract customers to relieve sales pressure. However, as time goes by, customers will develop the habit of trading on credit, and some bosses will even “work as foreigners”, failing to pay for goods…
Qian, the general manager of Wujiang Manjianghong Textile Co., Ltd., said that next year The weak market situation in the first half of the year has led to the slow withdrawal of funds from our downstream customers, which has also lengthened our account period to a certain extent. This time last year, our account period was about 1-2 months, and recently it is about 3 months. Some Old customers last longer.
Although arrears are unavoidable, Boss Bu has worked hard all year and it feels really annoying to still have money floating around, especially now that it is almost the end of the year and we are preparing to purchase a wave of raw materials. Only to find that there was no money on the books and the raw materials could not be sold on credit. My heart is really cold!
The editor would like to remind all bosses that in today’s textile industry with thin profits and high costs, credit sales must depend on the customer’s creditworthiness, otherwise it is very likely that a year’s work will be in vain… ..
Editor’s Note
This year’s snow seems to be worse than In the past, it came earlier, and so did the market conditions, and it was basically completed in the first half of the year. The weather is getting colder and colder, and the mood of Boss Bu is getting colder and colder. The only hope now is that when the weather is cold, the fabrics of cold-proof clothing can be used in large quantities, and the foreign trade market can improve next year, and Trump should not change his mind again. Now…</p
