Gradually Unfreezing the Market in Cangzhou Hebei, Textile Enterprises Begin to Resume Work

Recently, Hebei Province has notified all regions to resume work in an all-round way on the premise of ensuring the safety of prevention and control. Enterprises above designated sizes have also received the notice from the government to resume work. It is understood that the overall epidemic situation in Cangzhou is under control. In addition to Hejian, Xianxian, Renqiu and Nanpi counties where the epidemic situation is relatively serious, the resumption of production of enterprises should be postponed, other counties have basically mature conditions for resumption of work, and enterprises are also informing workers to return to the factory.

According to the introduction of ginning factories in Cangxian, Dongguang and other places, due to their small scale, the processing enterprises have not yet resumed production, but they have arranged workers to clean up and organize the inventory in the factory, and actively contact with traders, middlemen and textile factories for sales. According to the current situation, it is expected that the overall start-up time of the ginning plant will start at the end of this month or the first ten days of March, and the sales work will start in succession in the second ten days of this month.

As of February 19, the pick-up price of ‘double 28’, hand-picking cotton produced in Xinjiang, in Cangzhou was 13,750-13,900 RMB/ton (public order, with tickets), and the pick-up price of ‘double 29’ was 14,000-14,200 RMB/ton, basically the same as those before the Spring Festival. Due to the poor flow of goods, at present, there is almost no transaction in the hands of traders and middlemen. Cangzhou local three-level cotton lint mainstream quotation is around 13,500 RMB/ton, general gross weight settlement, the actual transaction process needs the buyer to see the bulk goods, according to the quantity can negotiate the price.

Some small and medium-sized yarn factories and printing and dyeing enterprises have returned to work one after another. However, due to the small number of workers returning to the factory and the small number of orders, most enterprises only maintain 20-30% of the startup rate, and some manufacturers only have 10%-20% of the factories on duty, so the enterprises are unable to organize production on a large scale. According to the analysis, there is still a long way to go from the full load production of yarn factories and printing and dyeing factories, which needs to meet three conditions: first, the orders should be sufficient, and the enterprises can only produce according to the orders, so that they can drive full power; second, the return of workers should be at least over 80%. At present, because many rural areas still implement ‘closed control’, it is relatively difficult for migrant workers to return to work; third, the logistics should be fully opened, and at present, the expressway should be fully opened Although it is free, some logistics companies are worried about the impact of the epidemic, and it is expected to take another 5-7 days to start.

It is understood that some low-end yarns are not marketable. On the 19th, the price of OE10S for air spinning was around 13,000 RMB/ton, that of pure polyester yarn was 11,300 RMB, and that of polyester cotton yarn was 15,200 RMB/ton. At present, there are few transactions in the market. At present, in addition to Hubei, Wuhan and other places, the epidemic situation is still serious, and it needs to continue to focus on prevention and control. The focus of work in Hebei Province has begun to shift to prevention and control of the epidemic and recovery of production. Therefore, it is expected that with the passage of time, ginners, mills and printing and dyeing enterprises will fully recover in early March.

In order to do well in the production work of ‘post epidemic prevention era’, enterprises should do well in various preparations in advance, and strive to return to work as soon as possible, achieve full results as soon as possible, and make full profits as soon as possible.

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