The National Bureau of Statistics recently announced the first quarter economic data. Data show that in the first quarter, consumer prices rose by 5.0% year-on-year, and the prices of raw materials purchased by industrial producers rose sharply year-on-year. At the same time, the National Development and Reform Commission also raised on-grid electricity prices in 16 provinces. Domestic coal prices have risen for four consecutive weeks, global coal prices have set new highs, and energy prices have continued to rise sharply. The sharp rise in the prices of raw materials and energy has caused a great impact on the abrasives industry, and the production costs of enterprises have risen sharply. In the face of such a situation, how do enterprises respond?

　　 1. Recently affected by the political instability of Libya and other oil-producing countries, the Japanese earthquake and the nuclear crisis, international oil prices have risen sharply, reaching around US$110, and coal prices have also risen sharply, directly causing serious losses for power companies. The National Development and Reform Commission In order to consider the current situation of power companies, the electricity price was raised in time. The rise in energy prices will directly threaten some abrasive companies, especially those that produce silicon carbide and corundum.

　　Coal prices are rising, and some mill companies are under great cost pressure. With the advent of the "peak summer" in the domestic coastal areas, the scale of coal imports will increase day by day, and international coal prices are expected to rise further. Currently, the benchmark price of international thermal coal trading has reached a historical high of US$129.85/ton. As of last week, the Bohai Rim Thermal Coal Price Index has risen for four consecutive weeks.

　　The National Development and Reform Commission raised the on-grid tariffs in 16 provinces, and the cost of milling enterprises increased. On April 18, 2011, the reporter was informed that the National Development and Reform Commission had raised the on-grid tariffs in 16 provinces (regions and cities) across the country a week ago. Shanxi had the highest increase of 2.6 points. /Degree, Shandong and other five provinces will increase by 2 points/degree, Henan and other two provinces will be increased by 1.5 points/degree, the other three provinces will be increased by 1 point/degree, one province will be increased by 0.9 points/degree, and four provinces will be increased by 0.4 to 0.5 points/degree .

　　 Coal prices in Shanxi rose by 10-30 yuan/ton. The reporter learned from China Coal Resources Network on April 21 that due to four consecutive weeks of increases in the Bohai Rim Thermal Coal Price Index and other factors, thermal coal prices rose to the pit. This week, Shanxi Coal prices in Datong, Taiyuan and other places have all seen significant increases, ranging from 10-30 yuan/ton.

　　Second, after the substantial increase in cotton and rare earths last year, it has been maintaining a high level of vibration this year. Recently, the prices of rare earths, alumina, epoxy resins and other raw materials have begun to rise again, which directly leads to the increase in the production costs of abrasives companies. If the prices of corporate products do not increase, the survival of the company will be directly endangered.

　　 New cotton began to sow to promote cotton prices to fall. Future coated products may fall in price. Since September 2010, cotton prices have risen explosively from 18,000 yuan/ton. As of this week, domestic cotton spot prices have remained at Around 30,000 yuan/ton. According to the reporter's in-depth investigation, although the cotton planting area will increase this year, cotton prices will continue to rise before the picking season in October, and may hit a new high after May. Cotton prices rose in the first quarter of 2011. In the first quarter of 2011, the spot price of cotton showed an overall upward trend. In January, cotton prices rose steadily and slightly. In mid-February, that is, the tenth day of the first month of the year, cotton prices began to skyrocket. In just 10 days, With an increase of more than 10%, cotton prices rose and fell in March.