India Andhra Pradesh Spinning Mill May Continue To Cut Production

Andhra Pradesh, India Do spinning The factory, like its counterparts in other parts of the country, is likely to continue to cut production until the start of the new cotton year in October, because half of its inventory is still in storage, and the price of cotton yarn continues to decline. There are more than 150 spinning factories in the state. Due to the initiative of the national cotton mill to limit production in the last week of May to stabilize the market and reduce inventory, the state's cotton mill reduced production by 30%.

Although inventories have dropped sharply since then, factory inventories have been reduced. still Piled up like hills. Today, most factories in the state still operate only 4-5 hours a day, that is to say, cut about 20% of production capacity.

As of the last week of May, Andhra Pradesh factory still carries 75 million kilograms. Cotton yarn The stock is about 50 million kilos today. The national factory had about 500 million kilograms of stock and dropped to 300 million kilograms today. This is almost a month's inventory, and the annual output of cotton yarn is 3 billion 800 million kilograms. The industry estimates that the gross financial loss of the spinning industry is about 20 billion rupees, due to oversupply. India lost about 110 billion rupees nationwide.

At the beginning of this year, cotton prices had reached a record high of 64000 rupees / candy, and fell to 45000 rupees / candy by the beginning of May when the export of raw cotton was not yet restricted.