Development Trend Of Textile Industry From Shengze 50 Index

In the environment of labor costs, raw material prices rising, RMB exchange rate rising and bank interest rates rising, traditional manufacturing industries such as textile industry have encountered unprecedented pressure.

Since the beginning of this year, the tone of the textile industry has increased significantly.

For Shengze's important Chinese textile industrial cluster, some media have even made negative reports of "a large number of enterprises losing money, stopping production and closing down".

But by studying the "China Shengze silk chemical index" in the first half of this year, especially the Shengze 50 index, the author found that under the condition that the development environment of textile industry is not very good, the quality enterprises with certain production scale in Shengze area still have good market performance by increasing the development of new products, developing differentiated products with high added value, and implementing the market strategy of both internal and external marketing. The Shengze textile industry cluster is moving towards the goal of upgrading the industrial structure advocated by the China Textile Industry Association, and is in line with Scientific Outlook on Development's development mode to enter a healthy development track.

The 50 index shows that Shengze's high quality spinning enterprises have stronger ability to resist risks.

The Ministry of Commerce of China "Shengze silk chemical fiber index" has been released since November 24th last year, and it has been more than six months.

In the past six months, China's textile industry can be said to have entered the cold winter.

The development of various unfavorable factors in textile industry has gradually affected the Shengze textile industrial cluster.

The monthly market climate index of "China Shengze silk chemical index" shows that last month, December to March this year, the monthly prosperity index of "China Shengze silk chemical fiber index" showed an upward trend, but by April this year, the monthly climate index began to decline. In May, the monthly market sentiment index of the city has dropped to 95.43, and the monthly market sentiment index has dropped to 93.57 in June, 7.5 points lower than the benchmark index of last month's November 24th.

An important reason for the fall of the monthly market sentiment index is, on the one hand, that the international crude oil price has continuously hit a new high, resulting in an increase in the cost of chemical fiber enterprises, while the prices of downstream products are hard to keep up with the pace of rising raw materials, resulting in the difficulty in pferring polyester products to cost pressures, and the profit margins of chemical fiber enterprises are becoming smaller and smaller. On the other hand, the domestic and foreign macro environment is not conducive to the survival of the textile enterprises, which are end-user demand.

The US dollar has broken 7 against the RMB exchange rate, and tight domestic monetary policy has made many textile and garment enterprises difficult to borrow and have tight funds.

Coupled with the adjustment of processing trade policy, the improvement of loan interest rate, the implementation of new labor law, and the rising cost of raw materials, many domestic enterprises in polyester chemical fiber industry are struggling.

But on behalf of the 50 largest silk producing and weaving enterprises in Shengze, the "50 index" has gone out of the opposite market.

The base period of the Shengze 50 index was 1000 in August last year.

In January and February, the "50 index" went out of the decline curve and began to rise in March. In April, the 50 index of Shengze fell, but in May, the Shengze 50 index still went out of a small rise, closing at 1147.50, and the June 50 index climbed to 1205.28.

Compared with the overall downward trend of market sentiment index, it shows an upward trend.

This shows that scale enterprises have stronger ability to resist risks when the market environment is bad.

The author found that in the first half of this year, the market of textile industry was not very prosperous, and many small and medium-sized enterprises in Shengze had some problems in production and operation.

However, the 50 model textile enterprises in Shengze, Shengze 50, are strong in technology input and new product development in recent years. At the same time, they have broad sales channels, so the 50 index is still strong in the case of the overall market growth rate declining.

Especially after the 5.12 Wenchuan earthquake in Sichuan, many 50 enterprises received the direct or indirect Oxford production orders from the Ministry of civil affairs and the general logistics department due to their strong production capacity, which also greatly boosted the Shengze 50 index.

The 50 index indicates the direction of industrial upgrading.

The domestic textile industry has entered the economic downturn on the whole under the influence of many factors. The Shengze 50 index has gone against the trend. Why?

The author of the 50 index of the index of the 50 Index textile enterprises in depth study found that the Shengze 50 family regulation model textile enterprises represent the direction of the upgrading of the textile industry, these enterprises have been in front of the industry in changing the way of economic growth.

The advocacy of the China Textile Industry Association to improve the contribution rate and contribution rate of products has long been a conscious action of these enterprises.

As a result, these enterprises showed strong coping ability during this difficult industrial development.

In depth analysis, we found that Shengze's 50 home textile enterprises have the following common characteristics: 50, enterprises are willing to invest in talent and technology development, and their advantages are obvious.

For example, Jiangsu Xinmin textile Polytron Technologies Inc currently employs 1459 people, of whom 136 have been developed by technology developers, about 9%, and 135 from Wujiang high tech Textiles Co., with 45 R & D personnel, reaching 33%.

50 the new product development capability of enterprises is strong.

For example, Jiangsu Xinmin textile Polytron Technologies Inc has developed 72 new products last year. In addition, 50 enterprises such as Dragon Textile, Wujiang chemical fiber weaving factory, Xinwu textile and Xiang Xing group have been able to achieve new products and new products continuously in new product development.

50 the products produced by enterprises are mostly high-end products with high added value and distinct competitive characteristics.

For example, the Wujiang Kingdee jet weaving factory is currently producing memory fabrics, and the hundred tattoo silk jet weaving factory is producing metal cloth and memory cloth; MasterCard is producing corduroy and memory fabric; Wujiang Fuhua weaving is producing series products of high denim spinning, high density fine peach peach skin, and Hantong spray weaving is the main production of "smart and exquisite" fabric.

The emergence of these new products has greatly enhanced the added value of the products. Compared with the conventional fabrics, the added value of the new products is more than 10 times, thus effectively breaking away from the vicious circle of the vicious competition of conventional products, enhancing the competitiveness of the enterprises, and the differentiation rate of the products of the 50 enterprises has reached over 80%.

50 enterprise sales both inside and outside, the domestic market occupies a leading position.

Such as Xinmin science and technology, Sino Lian warp knitting and other enterprises all focus on the domestic market.

However, there are certain export markets for masterpiece weaving, Xiangsheng textile dyeing and finishing, run Tatsu weaving, hi-tech textiles and Guangyu textiles.

This also fully shows that under the influence of adverse factors such as RMB appreciation and trade restrictions, the 50 enterprises have begun to fully develop the domestic consumer market, and have carried out the development ideas of both the domestic and overseas marketing markets advocated by the China Textile Industry Association.

The 50 Index brings a lot of inspiration to the development of Shengze's textile industry cluster and even the entire Chinese textile industry. This is the crisis facing traditional industries, and it is also an opportunity to upgrade from product, technology, brand to vision and concept.

The traditional manufacturing industry should stick to Scientific Outlook on Development, pform the mode of economic development, accelerate the process of pformation from quantity expansion to quality benefit, change from investment driven to innovation driven, increase the technological content of products, and increase the added value of products, in order to have stronger ability to resist risks and market competitiveness.