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Textile Industry: Efforts Should Be Made From Structural Adjustment.

2010/6/28 13:07:00 25

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With the continuous release of the positive effect of the national macroeconomic regulation and control policy, the demand for domestic demand gradually increased. Since the first half of this year, the textile industry has increased investment and efficiency and has greatly improved its confidence. According to the General Administration of customs, China's import and export value in May this year was 243 billion 990 million US dollars, an increase of 48.4%. Of these, exports were US $131 billion 760 million, an increase of 48.5%, an increase of 18.1 percentage points from last month, an import of 112 billion 230 million US dollars, an increase of 48.3%. Compared with May 2008, imports and exports increased by 10.2%, of which, exports increased by 9.2% and imports increased by 11.4%.

Clothing and its products in May

Accessories

Exports grew faster than the first 4 months, and exports amounted to US $9 billion 463 million, while exports in April were US $8 billion 155 million, rising by 16%.

At the same time, it increased by more than 27% compared with 7 billion 410 million US dollars in May 2009.

In the first 5 months of this year, the total export volume of clothing and accessories reached US $36 billion 820 million, up 13.1% over the same period last year.

With the continuous rise of the textile economy, enterprises are also showing various good voices.

Cotton spinning enterprises are doing

Order

Busy day and night, labor problems perplexed enterprises; chemical fiber enterprises rush to rush goods for the urgent loom; especially textile machinery enterprises, the vast majority of production orders are at the end of the year, and some even to the second half of next year.

But behind the rapid development of the textile industry, will the financial crisis be the two bottom? The European economy has not yet been restored, leading to a continuous decline in demand; textile raw materials, labor costs, and the textile industry profits, dilution, market supply and demand contradictions, corporate financing difficulties, and so on, these problems are testing the development of the textile industry.

A good momentum does not mean that difficulties are over. There is still pressure for development in the industry.

First of all, the cost of raw materials in China's textile industry has been rising rapidly since the beginning of this year.

At this stage, with the gradual consumption of raw materials in the early stage, the cost pressures of high priced raw materials purchase have begun to appear, which has further affected the further recovery of enterprises' production.

Secondly,

The labor

The cost continues to rise, further increasing the operational pressure of enterprises.

Since the beginning of this year, more than 10 provinces and autonomous regions such as Guangdong, Shandong and Jilin have raised the minimum wage standard, with an average increase of about 17%. China has entered the minimum wage adjustment year.

As a cotton mill in Nantong, Jiangsu, the wages of the truck drivers increased from 2500 yuan in 2007 to 3200 yuan now.

The rise of staff wages and the increase of enterprise management cost indicate that China has entered the general upgrading range of labor costs, which is more heavy for the labor-intensive textile industry.

In addition, due to the sharp rise in steel prices, coupled with the intensified competition in the textile machinery market, the profits of textile machinery enterprises have been reduced to varying degrees before the financial crisis.

No wonder it is now described that the textile machinery industry is "moving", earning hard money.

With the rising demand and rising cost pressure, China's textile industry's internal and external market demand is also more complex. The recovery of external demand is still difficult and domestic sales growth has dropped. It can be said that textile production will enter the adjustment period in the coming months.

In response to this new situation, Gao Yong, vice president of the China Textile Industry Association, said that the textile industry is at a critical stage of stabilizing and recovering. This does not mean that the difficult period has passed, especially the sharp rise in exports. It does not mean that the textile industry is in a stable development period. If our enterprises can not take seriously the current difficulties, it is very likely that the big ones will emerge after the big start, which will cause serious harm to the textile industry.

To this end, the textile industry must have a clear understanding of future market judgement.

If we want to stabilize, long-term and healthy development, textile enterprises must work hard from structural adjustment.

"We must further promote industrial restructuring and industrial upgrading, increase the added value of export products, establish the core competitiveness advantage, and fundamentally resolve risks in all aspects".