What is the status quo of production and sales of spinning enterprises in Henan?

Jul 14, 2020  |  by Zhao xh


Henan is an important domestic yarn production base. Currently, the annual yarn production ranks third in the country, among which pure cotton yarn production is second only to Shandong Province. What is the status quo of production and sales of spinning enterprises in Henan?
The spread of foreign pandemic has greatly affected foreign trade enterprises. The textile industry in Henan Province presents a structural form of “large spinning scale and small clothing scale”. The outbreak of the pandemic has caused great changes in the production and market of cotton yarn in Henan. The orders of foreign export-oriented enterprises have been greatly reduced, and the pressure on production and operation is heavy. However, the production of traditional domestic sales enterprises is basically normal, and the impact of the pandemic is relatively limited.
 
Textile enterprises are faced with the problem of difficulty in employment. How to improve the efficiency of labor production is a problem that enterprises must seriously consider. Only by enhancing the management level, increasing technical input, improving the level of product automation, and controlling the cost of raw materials can we create greater benefits. Currently, the stocks of raw materials and finished products of spinning enterprises in Henan are generally maintained at a low level, some of the raw materials are maintained at about 20 days, and some are maintained at about one month, which is significantly lower than the stock size of the company during the same period; even some textile enterprises have zero inventory of products. Consumption is downgraded. The combed yarn market is shrinking. At present, the domestic medium and low-end cotton yarn market of Henan textile enterprises is stable. The production of most medium and low-end cotton yarn companies has returned to normal, and some companies that produce high-end products and heavy liabilities still face pressure. In terms of types, the sales of Henan spinning enterprises’ carded yarns are significantly better than combed yarns. Taken together, there are three main reasons for the current serious differentiation of enterprises: First, different management methods of enterprises; second, differences in product positioning; third, the reduction of downstream consumption and consumption degradation.

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