Textile And Garment Industry Is Beset With Many Reasons.

Statistics released by Ministry of industry and information technology in April 2nd showed that in 2010 1 to February, China's textile enterprises above Designated Size reached 567 billion 300 million yuan in gross industrial output value, an increase of 27% over the same period last year, and the growth rate increased by 24.4 percentage points over the same period in 2009. Industry analysts pointed out that at present, China's textile industry has continued to stabilize and pick up trend, textile enterprises orders increased significantly, the operating rate generally increased, continued to show a positive situation. However, behind the magnificent data and positive signals, the textile and garment industry is still facing a series of difficulties and uncertainties. 

"Export orders have not been broken in 2010, factories have been full load production, and these two days have signed millions of orders, compared with 2009, the situation has obviously improved." Coming to Beijing to participate in 2010 China International Textile Fabric and accessories (Chun Xia) Shao Qiang, general manager of Shaoxing run public Textile Co., Ltd. But Shao Qiang also said that because raw material prices rose by about 25% compared with the same period last year, profits were thinner and could only be small profits but quick turnover.

In the first two days of the three major exhibitions of textile and apparel industry in 2010, the Shaoxing textile and apparel company, DHENG textile company, signed a $7 million order. The total number of bills signed during the exhibition was over US $10 million, but Pan Xiaoguo, general manager of the company, showed some concern in talking with reporters. "50% of our products are exported, but our customers are getting more and more tricky. Fabric The difference between one or two cents will be half a day. " Pan Xiaoguo said that the profit margin of enterprises is only 3% - 5%, and the cost of raw materials and labor is increasing. "Business is really becoming more and more difficult."

China Textile Economic information network data show that the current domestic 328 class cotton price is about 16000 yuan per ton, 25% higher than the average price in 2008, and the international cotton price rose by more than 35%. Chemical fiber enterprises also generally reflect that raw material costs have risen by about 25%. Textile and clothing The cost pressure of enterprises can be seen from this. However, among the many unfavorable factors, the most worrying issue for pan is the RMB exchange rate. "For example, the $10 million order we signed during the exhibition will be delivered in a few months. If RMB appreciation is 1%, our profits will be reduced by 1%, which is unbearable for many enterprises." Customs statistics show China's textiles from 1 to February. clothing Total exports amounted to US $28 billion 242 million, an increase of 28.98% over the same period last year, and the growth rate increased by 43.45 percentage points over the same period last year. However, Chen Shujin, vice chairman of the China Textile Industry Association, said that the average profit of the whole industry is only 4%. If the RMB appreciates again, the whole industry is likely to have a large-scale bankruptcy.

Affected by the overall economic rebound, many coastal areas Textile and clothing Enterprises are facing more serious "labor shortage". With the increase of orders, enterprises can only guarantee production by raising wages, reducing educational background and age, and the wage level of some enterprises has risen by about 30%. At the same time, the main target market of textile and clothing exports still faces such problems as high unemployment rate, debt crisis, deflation and so on, and market demand has not improved significantly. The main developed economies are under the pressure of high unemployment, and trade protectionism is also on the rise. This has also brought challenges to China's textile and clothing exports. "Therefore, while enhancing our confidence, we must comprehensively and correctly judge the situation and not equate the upward trend of recovery to a fundamental improvement." Du Yuzhou, President of the China Textile Industry Association, said at the enlarged meeting of the China Textile Industry Association held recently. "We need to enhance our sense of hardship, make full use of favorable adjustment and positive factors, work hard to resolve conflicts, and make preparations for dealing with all kinds of risks and challenges more carefully."