Tuesday, May 18, 2010

Cotton Textile Industry

Cotton textile industry is the backbone of China's traditional industries and an important livelihood sector, but also the more obvious advantages of international competitive industry, the expansion of exports and jobs, protect the farmers income has played an important role. However, since the second half of 2008 by the international financial crisis, China's cotton textile industry, are subject to certain shocks, cotton textile industry was severely affected. In this paper, Heze, Shandong Province as an example, analysis of the textile industry's present situation

and problem-solving approach.


Reduction in international demand for textile exports declined. By the international financial crisis, world economic slowdown, foreign demand significant drop in textile exports blocked. Since the second half of 2008, China's textile exports fell sharply. In January 2009 to June, textile exports 72.79 billion U.S. dollars, down 13.18%. Affected by this, in January 2009 to June, Heze City, textile exports 13.85 million U.S. dollars, down 15.8%.


Cotton prices rose, raw material costs. Since 2006, cotton spinning enterprises rising raw material prices, an increase of the textile industry's production costs, squeezing the textile industry profitability. In 2009, cotton prices continued to rise, but the cotton prices have remained in the doldrums. 6 the end of the price of cotton yarn 16.2 thousand yuan / ton, three cotton price of 13,000 yuan / ton, and the market supply of raw materials, some raw materials to raise difficulties in cotton spinning enterprises.


Growth of the wages and labor costs. Textile enterprises are labor-intensive industries, and greater demand for skilled young adults, the textile industry employment also affected by seasonal effects. In recent years, due to factors such as rising prices lead to increased cost of labor and employment. While India, Pakistan, Bangladesh and other countries, because of lower labor costs, to a certain extent, driving down the international market price of cotton textiles, the relative weakening of China's cotton textile industry in low-cost comparative advantage.

source: articlebase.com

Technorati Tags: ,,,,

No comments:

Post a Comment