The price of cocoon and silk will weaken and adjust as the textile market enters the off-season

According to the price monitoring of the business agency, the market price of dry cocoon in China has continued to rise since June. As of the 10th day, the average price of dry cocoon market was 94000 yuan / ton, up 4.44% from the beginning of the month.

 

The raw silk market rose first and then fell. As of the 10th, the average price of raw silk market was 290000 yuan / ton, down 1.53% from the beginning of the month. With the full listing of spring cocoons in China, the overall purchase price of cocoons has increased. Supported by the cost of raw materials, the overall price of cocoons and silk on the spot has been stable and stronger, but the downstream demand has not significantly recovered, and the transaction has turned weak, and the price of raw silk has slightly dropped.

 

Melamine

In June, the fourth batch of spring cocoons in Yizhou, Guangxi began to be listed in batches. According to some local cocoon stations in shibie area, due to the influence of high temperature and rainfall, the fresh cocoons listed are slightly wet, the cocoon layer is thin, and the cocoon quality is average. At present, the purchase price is about 32-34 yuan / kg. On June 6, Chongqing Jinxi silkworm science and technology service station opened the scale to collect cocoons, which marks the official opening of the purchase of cocoons in spring in Qianjiang district. This year, Qianjiang District has implemented 18500 cocoons in spring, and is expected to produce 15000 cocoons. In spring, Jinxi town has distributed 1500 cocoons, and is expected to produce 1200 cocoons, with an estimated income of 2.5 million yuan. More than 4000 spring silkworms raised in Xiuzhou District, Jiaxing, Zhejiang Province, have been carefully raised by many sericultural farmers for nearly a month, and the spring cocoons have achieved a high yield and harvest. According to the sampling survey of 23 sericulture households in four villages of two towns, the highest yield reached 70 kg, the lowest 47.5 kg, and the average yield reached 56 kg, an increase of 2 kg, 3.7% year on year. The price of cocoon reached a new high. The price per load (50 kg) was 1770 yuan, an increase of 20 yuan, 1.1% year on year. The price of cocoon exceeded the expectation. The average income per cocoon was 1982 yuan, an increase of 92 yuan year on year, 4.9% increase.

 

At present, it has entered June, and the traditional off-season of the downstream textile market has arrived. Due to the lack of support from the demand side, most of the silk factories have increased their accounts receivable and inventory to varying degrees. The capital pressure of the silk factories is large, and the raw silk market has begun to fluctuate downward. At present, the spot market transaction turns to be cold. Although in order to promote consumption and economic vitality, relevant support policies emerge frequently in China. From the issuance of consumption vouchers, 2.5-day rest days, to the local economy, the intention of promoting employment, pulling consumption and reducing inventory is obvious. Some foreign countries have successively opened ports and gradually returned to work and production, but it is still unable to judge the turning point has come. The global textile and clothing industry has been hit hard, and the demand is difficult to recover for a while. According to the import and export data, the total import and export volume of China’s real silk goods from January to march was US $390 million, down 18.45% year on year, accounting for 0.74% of the total import and export volume of China’s textiles and clothing. The export volume was 341 million US dollars, down 18.4% year on year, and the import volume was 48.927 million US dollars, down 18.81% year on year.

 

Business analysts believe that the current terminal demand is still poor, will restrict the cold cocoon silk industry. In June, the demand of the terminal textile industry will become more and more obvious in the off-season, with a strong wait-and-see attitude towards the market and a rigid demand for raw material procurement. At the same time, the recovery of market demand in Europe and the United States is relatively slow. Except for some orders, other places are basically in a state of stagnation. The cocoon and silk industry with export as the main trade mode will be in trouble, which will have a negative impact on the support of cocoon and silk prices. Therefore, it is expected that the cocoon and silk market will be weak and adjusted.

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