With cotton prices recently striking a record high due to shortfall in global cotton production, domestic towel and quilt makers are planning to up the price because they can no longer absorb the cost increase. The prices of cotton products are expected to be raised by 30% to 50% after the Chinese New Year.

A high percentage of the towels manufactured in Taiwan are 100% cotton, which means that towel prices may increase by 50% after Chinese New Year.

Towel manufacturers say that 70 NT towels may cost upwards of 105 NT in just a few weeks' time, and that while they have tried to absorb the higher cost of cotton, prices have risen to a point where they can no longer afford to do so.

Decreased cotton production worldwide means that the prices of other cotton products, including comforters, are also set to rise by 30% to 50%.

Traditional blanket manufacturers require a large supply of cotton, and many say that they are currently not making any profit on sales.

As consumers will no doubt have reservations about the price hike, the industry may be facing difficult times ahead.