SunSirs: Downstream Demand was Weak, Cocoon Silk Market Fell Slightly in September
In September, the domestic cocoon silk price dropped slightly. As of September 29, the average price of dry cocoon market was 150,000 yuan/ton, down 3.23% from the beginning of the month and up 64.84% year-on-year; the average price of raw silk in the market was 431650 yuan/ton, down from the beginning of the month 3.00%, an increase of 49.39% year-on-year.
Recently, the autumn cocoons in Guangxi have been listed, and the third batch of autumn cocoons in Liucheng has been listed. The purchase price is generally around 48-50 yuan per kilogram. The quality of Yizhou cocoons is better, and the purchase price is generally 50-52 yuan per kilogram, and the good ones are 53 yuan per kilogram. In the north-central area ofJiangsu, the key production areas Dongtai and Nantong ushered in a concentrated listing of autumn cocoons. Among them, Dongtai City set the purchase price at about 53-54 yuan per kilogram. The late autumn silkworm in the Qianjiang area ofChongqing entered its fifth instar period, and the purchase price of the silkworm cocoons during the autumn in Fengjie and Wuxi areas was 47 yuan per kilogram.
According to China Customs statistics: In August 2021, Chinese companies exported 202.907 tons of wet and dry pupae, with a value of US$277,966 and an average price of US$1,370/ton. The export of fresh pupae was 618.392 tons, the value of which was US$11,976,07, and the average price was about US$1,937/ton. Fresh pupae decreased by 319.558 tons from 937.95 tons last year.
Affected by the continuous increase in the“dual control of energy consumption”, Guangxi’s electricity curtailment measures have been upgraded, and silk reeling and other companies have recently received notices of curtailment. It is understood that for the production arrangements during the 11th period and beyond, most companies have stated that they have no plans yet and will make arrangements based on the electricity consumption measures next month. As the printing and dyeing factories in Jiangsu and Zhejiang adjusted production before the end of the month, the load on the weaving industry dropped to less than 50%. The pressure on finished product inventory remains unabated, and the enthusiasm for purchasing raw materials is not high.
According to China Customs statistics, the import and export volume of silk products in August was US$148 million, an increase of 50.41% year-on-year. Among them, the export value was 117 million U.S. dollars, an increase of 17.27% month-on-month and a year-on-year increase of 52.46%; the import value was 31.19.99 million U.S. dollars, a decrease of 1.84% month-on-month and an increase of 43.20% year-on-year. From January to August, the total import and export volume of real silk products was US$1.077 billion, a year-on-year increase of 25.59%, accounting for 0.49% of China’s total textile and apparel import and export. In terms of exports, due to the unfavorable effects of rising ocean freight rates and prolonged transportation turnaround time, overseas orders have shrunk.
Affected by the continued decline in the market, the recent downstream negotiation time has been lengthened, and the Guangxi, Jiangsu and Zhejiang factories have restricted production and stopped production. The market is still relatively light, and the market sentiment is strong. It is expected that raw materials will be purchased cautiously. As winter orders are placed one after another, double “11” and the Christmas season is approaching, demand pressure is expected to be relieved, and the cocoon silk market will also improve.