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    30% Increase In Cost

    2010/6/23 10:58:00 65

    Clothing

    The cost of clothing has increased a lot this year, and the cost of a short sleeved garment has increased by about 3 yuan.


    Focus on Humen


    Recently, the author learned from the market that since the beginning of this year, the price of garment accessories and accessories has risen all over the world, and the cost of labor caused by lack of work has led to a rise in clothing prices in Humen.


    Cost increased by 30%


    Cotton prices have continued to rise since last December. According to China's cotton price index, the price of standard cotton has risen from nearly 15 thousand yuan / ton in February to 17289 yuan / ton in May, compared with 10966 yuan / ton at the beginning of the year, and the price of standard cotton has increased by about 60%.


    Rich people Taixing auxiliary material city, a surnamed businessman said that since this year, due to the main cotton producing areas in Xinjiang and other places affected by natural disasters, cotton production greatly reduced, coupled with the recent recovery of China's textile industry, cotton supply and demand imbalance.

    As a manufacturer of cotton fabrics, he deeply felt the tension of raw material procurement: in the past, he paid the goods first and then paid the bill. Now he must pay the full amount of money in advance for two months before he can get the goods ordered, and he will get the first shipment in more than 20 days.

    As cotton supply is in short supply, the price of cotton cloth has also risen, increasing by more than 1/3.


    A Zhao surname shopkeeper in Daying fashion city said that the cost of clothing has increased a lot this year. The cost of a short set of costumes has increased by 3 to 4 yuan, and at the same time, because many garment factories are in a state of lack of work, only by raising the wages of workers to attract workers to stay, so has the cost of labor increased.

    Its clothing factory in town mouth, per capita wages increased by more than 20%.

    Even so, in order to complete the order on time, under the condition of understaffed people, she sometimes had to look for foreign aid and send goods to other processing plants. Even if the cost per garment was increased by $1, no one would like to receive it.

    Reporters also interviewed several clothing brand executives, who said that compared with the past, the cost of clothing this year increased by an average of more than 30%.


    Fashion trend


    In the face of rising costs, clothing companies have to cope with the increase in product prices.

    The author interviewed, found that the strategy of price rise, clothing manufacturers are different.

    For those who run low price clothing, they are afraid to pfer the increased cost directly to merchants.


    Li surnamed merchants, who run women's trousers in fuming fashion city, said that at first, she added the added cost to the original price directly, which immediately attracted the dissatisfaction of merchants.

    Later, she had to develop new styles of clothing, make some changes in style design, and then quote a price plus one yuan cost, and the merchants accepted.

    For some small garment factories, clothing brand enterprises are much more cautious in terms of price rise. They should make choices in terms of "protecting merchants" and "protecting profits".

    Although the cost of clothing has increased by more than 30% or even 40%, journalists learned from clothing brands such as Yi Xun and Xiao Hu Han Ni that the prices of these brands were only about 10%.


    The head of Xiao Hu Han Ni said that the brand needs to have a pitional period to produce.

    If the market goes too fast, the market will not be able to adapt to the brand.

    In this critical juncture, the key is to keep the marketing channel.

    Clothing related executives said that under the current circumstances, they had squeezed other costs through internal control to ensure the production space of channel customers, and to build strategic cooperation with suppliers in the supply chain to ensure a win-win situation.


    As Humen, which owns thousands of garment production enterprises, will its clothing industry face a major crisis? Tan Zhiqiang, director of Humen economic and Trade Office, firmly stated that Humen clothing enterprises are very strong in resisting risks and adaptability. These enterprises can resist even the global financial turmoil. Why are they afraid of rising costs? He said, at present, the founders of Humen garment enterprises are mostly from scratch, and their enterprises have strong vitality, and they will not be hurt because of a little cost rise.


     
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