The rate of clothing has gone up as much as 60% – 80% since July 2010 and keeps going to increase in price because of shortages caused by lower inventories being held during the country wide recession and this years production again being hit by poor weather and a lot of rain in Pakistan, India and China who in a combination produce near to 50 percent of the global clothing.
Few Experts have confirmed that cotton production may not hold up with utilization for almost two years. This has been associated with a higher than expected increase in requirement not only from the United States as it comes out of economic downfall but also from the local markets in the Far East. The rate of polyester has also risen swiftly in the last couple of weeks with raise of 30 to 40% on raw materials with many experts thinking that this rise in prices is set to continue for the foreseeable future. The blow on effect of this has been rapid booking in the markets and many
weaving companies have in reality stopped production this month. The condition is so unstable at the moment that we have been informed by one of the trusted wholesalers that they expect 60% of the clothing factories to have halted manufacturing by the end of the month.
The larger companies like NEXT are also effective to such market trends and have released to consumers that upcoming year will bring a rate increase in all of their range. A regular customer in Primark recently told me that a piece which was £4 in 2010 January is priced at £7 in April 2011. This is more than 75% increase in market price!
Andy Ryman, Director of one of the UKs major online curtains and cushions portal, recently outcome in a meeting that since January 2011 they have been growing their textile relevant retail prices by 15-35 percent. Definitely youll think this is a very big rise in values. When queried if sales have been changed alot, the reaction was, Yes absolutely, look at these curtains and cushions for paradigm, we formerly retailed the cushions for only 5 euro per cover. Now the costs are nine euro with a massive cut back in profit to uphold value for our regulars. This has really affected sales through all our channels and we are lucky to be diversifying into former industries outside of textiles to continue to exist. Many firms without this external remunerations will definitely suffer. Regular consumers now only acquire what they require and cart totals are distinctly low on our website. Persons are not choosing accessories such as tie backs to attend their curtains without consideration, now its become a luxury to have them with your curtains!
Going out on a round in one of the warehouses I couldnt restrict myself but notice the empty shelves; which was briefly explained by Andy, that it is a consequence of manufacturers in China who are refusing to supply the goods in view of raising prices in future, although they had products available for immediate dispatch. Take example she continued These cushions and tie backs made exclusively from polyester have been the most demanding range in terms of number, but now we are not even able to confirm any orders because of lack of supply.
Polyester and cotton is quickly growing as a commodity like gold; none would have ever thought that!
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