In 2021, when raw materials are rising, it is commonplace for textile bosses to have low profits and sell at a loss. How to find a breakthrough point? Making yourself some money is probably something that textile bosses worry about every day.
“There are many orders this year, and the factory is starting up The profit rate has also remained above 70%, but the profit is too low, so the profit this year is not as much as last year.” A textile boss said sadly.
Although there are many loss-making orders, there are always many ways Yes, by using some “little tricks” on machines, raw materials, etc., textile bosses can turn from a loss-making situation into a meager profit.
Can T400 raw material be replaced by this one? Didn’t expect it!
“A batch of cool silk cotton orders from the factory were originally at a loss, but now I have thought of a way to replace the 150T400 weft yarn with 160D matte SPH. The cost has dropped significantly by 0.4-0.5 yuan/meter, and the price quoted to customers has also dropped. Except that the hand feel is not as good as using T400 raw materials, everything else is basically the same. The price is cheaper and customers are more accepting of it, and we have also made profits.” A Said a textile boss in Shengze area.
Maybe it’s because stretch fabrics have always been very popular in the market. Not only has the price of spandex increased this year, but the price of T400 raw materials has also risen again and again since the second half of the year. 5 The current market price of T400 raw material, which was still on sale last month, is already at 16,000 yuan/ton. It is understood that the lowest price of T400 raw material this year was only 12,000 yuan/ton. Although the price increase is not as dramatic as that of spandex, it has also increased a lot.
Fabrics such as T400 and T8 will begin in the second half of the year Slowly rising, but not as widely used as four-way elastic products, this type of non-spandex elastic fabric will basically become the mainstream product in the market in the second half of the year, so the price is gradually being raised.
The rise in raw material prices has reduced the room for textile bosses to make profits. Although it has arrived in mid-to-late August, the market has still not improved, so even if Textile bosses don’t dare to increase prices easily when there are orders. After all, blindly increasing prices before demand is fully developed will only miss more customers.
The market continues to be sluggish, and raw material prices may fall
“The order situation in August is not stable. It has not improved as expected. Compared with the previous period, the situation is still relatively deserted. The current orders on hand can only last for half a month. However, the market is not good. Many raw material factories have also started promotions, and the cost has dropped slightly. point, the profits of some orders will also go up.” said a textile boss in Shengze area.
Polyester yarn has started promotions and price cuts since last week. It has basically maintained a relatively stable state. The price increase has passed. As the market situation is difficult to improve, It is estimated that polyester prices will continue to decline in the future. Although the price of spandex has no downward trend, it has basically remained stable this week. At present, it seems that the recent price increases will no longer be as crazy as before, and the prices of some raw materials will continue to fall.
The decline in raw materials is a good thing for weaving manufacturers. Although everyone is now complaining that profits are too low, there are still orders. Even if there are no orders, you can still produce inventory appropriately.
Seeing that August is coming to an end, the “Golden Nine and Silver Ten” are getting closer and closer. As the peak textile season, I believe many textile bosses are looking forward to it. However, according to At present, August has not ushered in a turning point. Perhaps it is due to the epidemic, or perhaps there was too much stocking up in June. In short, the rebound in demand also needs a buffer. I believe that even if there is not a large number of orders like the peak season in previous years, , “Golden Nine and Silver Ten” will also have a wave of market prices.
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