The Price Of Dyes Is Rising And Producers Do Not Want To Sell Them. Zhejiang Printing And Dyeing Enterprises Begin Counterattack

The "3. 21" major explosion accident in Xiangshui, Jiangsu, has passed for more than a month. However, the vibration caused by the dye industry is still continuing. Along with the production and rectification of many chemical enterprises throughout the country, the price of dyestuff market has soared in the near future.

The sudden changes in the market also bring trouble to downstream printing and dyeing enterprises. Recently, the printing and dyeing industry association of Keqiao District of Shaoxing has called on boycott a few producers of dyes and chemicals to raise the price of dyes and chemicals in an abnormal way, disrupting the normal production order of printing and dyeing enterprises.

At the investor reception meeting held in April 22nd, printing and dyeing enterprises, hang min shares, said that because of the unreasonable price increase in the dye market, the company suspended the purchase of dyes, and when to restart the purchase, it depends on the market of dyestuff.

To what extent will dye price increase, and how will printing and dyeing enterprises and upstream suppliers solve them?

Recently, a number of printing and dyeing enterprises and trade associations in Keqiao, Shaoxing have been continuously visited by reporters.

A truck laden with white grey cloth appeared more and more frequently from the Keqiao District of Shaoxing to the north along the coast.

Following them all the way to the mouth of the Qian Tang river is the Binhai Industrial Area, where 108 printing and dyeing enterprises are gathered in the Keqiao District of Shaoxing, a major printing and dyeing enterprise.

According to the Keqiao daily report, the annual production capacity of printing and dyeing in Keqiao is 10 billion meters, accounting for 1/3 of the country's capacity. It is the largest printing and dyeing gathering area in China.

At the same time, the printing and dyeing industry accounts for more than 20% of the total economic output of the whole Keqiao District, and nearly 80 thousand people are engaged in related work.

"Every few days, almost every two days will ask friends about the price of several major dyes. According to the current price, the cost of light (purchase) dyes will rise 40%~50% directly, and the losses will be fixed in the second half of the year."

The printing and dyeing factory under the name of Zhou Xing (alias) has just completed upgrading and upgrading last year, but it has not yet officially launched its full capacity and is faced with the problem of output loss.

"To tell you the truth, the price of dyes has gone up before the Xiangshui bombing. According to the trend of past years, prices will be stable in March and April, but this year is obviously different."

Zhou Xing said.

From interviews with several printing and dyeing enterprises, reporters learned that since the "3. 21" major explosion accident in Xiangshui, Jiangsu, the shipment of dyestuff enterprises has slowed down from second days, and the situation of price rising has intensified.

According to the rising supplier's offer, the disperse black ETC 300% rose from 38 yuan / kg to 70 yuan / kg. S-GL Cui LAN rose to 500 yuan / kg from 160 yuan / kg, ZBLH LAN 100 yuan / kg rose to 350 yuan / kg, red jade 30 yuan / kg rose to 60 yuan / kg, and red 30 yuan / kg rose to 60 yuan / kg.

"Dyed one cloth, you need to use more than a dozen or so different types of dyestuffs. The price of dyes in past years is generally increased by several varieties, and printing and dyeing plants can also control their own cost through the allocation of orders.

However, almost all of the dyes have been substantially increased, and the most serious disperse dyes have increased by more than 70%. The number of dyes has increased by 100% to 150%. Other acid dyes and reactive dyes also have a 20% to 50% increase.

Zhou Xing said.

Reporters learned that the average annual output value of nearly 100 million yuan of manufacturers, limited by the pressure of liquidity, will reserve two to three months of raw materials in the preparation of dyes, from March 21st to now, the reserve dye is about to bottom, the price is higher and higher. "What we can see is loss. In the two months, we rely on some reserves, and then enter some high priced dyes in small quantities, and we can barely live."

Zhou said: but if the days are still so high, it will be a loss in the second half.

In this regard, Shaoxing Keqiao District printing and dyeing industry association responsible person told reporters, from the existing small and medium-sized printing and dyeing enterprises reflect the situation, dye prices appear irrational phenomenon, in addition to the problem of deliberately high prices, middlemen, salesmen and even some production enterprises themselves also exist "hoarding goods" phenomenon.

"The price of dyes has soared, and some enterprises have encountered suppliers' shortage of goods on the grounds that they have refused to fulfil existing contracts, and even prefer to pay liquidated damages and fail to fulfill their contracts."

The person in charge said.

Another leading local dyeing and printing enterprise official told reporters that most of the printing and dyeing enterprises in Keqiao have reached a consensus, hoping to boycott the phenomenon of abnormal dye inflation.

"To tell you the truth, for our larger printing and dyeing enterprises, on the one hand, our dye reserves are quite sufficient, so far, we have three to six months' raw material reserves. On the other hand, compared with small businesses, we can get raw materials at a more affordable price. For us, survival is not a problem, but at present, there are signs of extreme chaos in the trading market, such as reluctant to sell and stockpiling. We believe that the future will harm the whole industry."

The responsible person said.

The relevant person in charge of Zhejiang printing and dyeing association also pointed out in an interview with reporters that in view of the rising price of dyes at present, we hope that both sides of supply and demand can understand each other and ease the contradiction through communication.

It is worth mentioning that not only the printing and dyeing enterprises in Keqiao district have voicing their voice, but also the cost of dye has increased dramatically.

Zhu Zhongqing, chairman of Hang min shares, recently announced that after the "3. 21" major explosion in Xiangshui, the price of upstream dyestuff industry rose.

In fact, the impact of the explosion itself on raw materials and dyes is not great.

But nowadays, the products of all kinds of dyes are rising sharply due to market speculation.

He believes that the market in the entire dye industry to suspend production and rectification is expected.

This is much larger than the impact of the explosion itself.

With the superposition of double factors, the price of dyes has risen sharply.

However, how should we solve the above problems when we resist?

The director of the Keqiao printing and dyeing Association told reporters that the association hopes to resolve the matter through dialogue and consultation through the relevant government departments, but he also acknowledges that the efforts made at present are of little effect.

The reporter noted that in recent years, the price of dyes has gone through many rounds. Relevant industry insiders say that in recent years, dye manufacturers have always been in the bargaining power compared with printing and dyeing enterprises. On the one hand, they limit production and other reasons, which really causes dye production enterprises to tighten their production capacity.

On the other hand, the oligopolistic pattern of dye enterprises gives the upstream a stronger pricing power.

The reporter has learned that the first thing affecting the explosion is the domestic market structure of the dye intermediate two benzene amine. It is understood that in addition to a large number of the disperse dyes, the inter phenyl two amine will also be used in several large varieties of reactive dyes, such as reactive black and reactive yellow.

"In other words, although the amount of benzene two amine is less, it is the raw material needed by many kinds of dyes, and its supply directly affects the dye production of a considerable proportion."

Relevant printing and dyeing industry people told reporters.

Prior to that, domestic production of benzene two amine mainly 3 Enterprises - Zhejiang Longsheng, Tian Jiayi chemical and Sichuan Hongguang, Zhejiang Longsheng is the most productive company.

The above Zhejiang printing and dyeing industry responsible person told reporters analysis, after the explosion, appeared in Northern Jiangsu area disperse dye production capacity shutting down rectification and so on, the industry concentration degree further improved.

Take Zhejiang Province as an example, the leading enterprises of disperse dyes produced by Longsheng, Zhejiang, will further enhance their price.

In addition, globally, disperse dye manufacturers are mainly in China, and can not rely on imports in the short term to solve the market supply of disperse dyes in China.