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Hooray for Craft Retailers as the Price of Cotton decreases
Listed under: News
Published: Tuesday, May 24, 2011
With price hikes occurring across the board for retailers, there may finally be some light at the end of the tunnel. With cotton prices almost doubling last year, reports have now surfaced that the price of cotton has fallen sharply over the last few months, making it easier for retailers to buy the material at reasonable value, and sell to customers for a fair price. The price deflation comes as a direct result of the forward-thinking of cotton mills around the country. The establishments made a conscious effort to stockpile the cotton supplies to guard against potential price rises, and more farmers started planting the crop in order to cash in on the rush.
High street retailer M&S recently revealed solid full-year profit growth, as it managed to hold prices steady despite soaring cotton prices, but smaller craft retailers have not been so lucky. Barry Wiffen, owner of The Cheap Shop in Essex, said: “Slowly the cotton prices increased and filtered through to us last year, affecting our sales slightly. Our suppliers mentioned that they might have to sell cotton to us at the price we sell it for, and we would've really struggled, so it's great to hear the cotton prices will finally be reduced in price.”
This is welcome news for craft retailers as the industry begins to recover and get back into the black.
High street retailer M&S recently revealed solid full-year profit growth, as it managed to hold prices steady despite soaring cotton prices, but smaller craft retailers have not been so lucky. Barry Wiffen, owner of The Cheap Shop in Essex, said: “Slowly the cotton prices increased and filtered through to us last year, affecting our sales slightly. Our suppliers mentioned that they might have to sell cotton to us at the price we sell it for, and we would've really struggled, so it's great to hear the cotton prices will finally be reduced in price.”
This is welcome news for craft retailers as the industry begins to recover and get back into the black.
