"These days, we increased yarn price by 2% when we negotiated with overseas customers. Some clients agreed, some were still waiting. Due to various course, yarn price was increased by 7% totally." Assistant general-manager of Ningbo Dunhuang Import & Export Co.,Ltd showed. All can be seen as the result of rebate cut not long ago.
On Sep.14, State Treasury Department issued notice to decrease textile rebate from 13% to 11% since Sep.15. During January to July,2006, China textile export value is increased by 18.56% , textile export in forth quarter 13billion USD, so with rebate rate of13%, total rebate value will be about 5.7billion Yuan while rebate will be decreased 0.88billion Yuan due to rebate rate of11%.
To digest the added management cost, major of textile enterprises advanced the price. Zhou Xiaonan said:"We are busying in preparing the exhibition for 100th Canton Fair and setting the quote, so increasing price is most direct measure currently. "
