Fuzhou Zipper Industry Enters The Golden Stage Of Short Supply

July 20, 2010, Fujian zipper Same trade Commerce Chamber The fourth two general meeting was held in Jinjiang, China's zipper capital. Representatives of more than 100 large and medium-sized zipper enterprises in Fujian attended the meeting, including 2 Zipper main industries listed companies, namely SBS and 3F.

"Although the whole industry suffered a certain impact from 2008 to 2009, the growth rate of production slowed down. Sale With the decline, some enterprises even suffered losses in operation. But according to the statistics of China zipper last year, the industry economy is recovering. In 2009, the sales volume of zippers reached 34 billion yuan, an increase of 6% over 2008, the output reached 38 billion meters, an increase of 4%, and the zipper export volume increased by 8%. Among them, the sales volume in Fujian area is around 4 billion 800 million yuan, accounting for 12.6% of the total sales volume of the country. China Hardware Association zipper branch director Shi Nenghui analysis said.

After the buffer growth in 2009, the zipper industry in Fujian seemed to enter a period of explosive growth in 2010. In the first half of this year, the production and sales of the zipper industry appeared an explosive demand growth. The large number of zippers were in short supply. Some enterprises' performance increased by more than 100% compared with the same period last year, especially the demand for clothing bags is a trend of rigid growth.

Performance: industry faces explosive growth

At the end of June this year, Fujian Xun Xing zipper Polytron Technologies Inc announced the 2010 Interim results notice amendment notice. The announcement shows that the net profit attributable to shareholders of Listed Companies in 2010 1-6 increased by 40%~60% over the same period last year. In the previous April, the company's net profit in the first half was expected to grow by less than 30% over the same period last year.

Similarly, Fuxing Group's Jinjiang Fuxing zipper Co., Ltd. has also ushered in fast-growing domestic and foreign market orders in the first half of this year. According to the company's internal statistics, the order volume increased by about 40% in the 1-6 months of this year, and the current order has been discharged to the end of August.

After half a year's wait-and-see recognition that the industry economy is gradually getting warmer, many zipper enterprises begin to plan to expand their capacity and regain the expansion plan.

Since July, Fuxing Group has been busy carrying out plant load assessment, and plans to expand the existing plant. At the same time, the expansion plan of the Shanghai branch of the group was also put on the agenda. "This year, the company has developed new high-end wearable zippers and other high-end products. At present, some high-end equipment has been introduced and put into production. High end products are our next development direction, which means that capacity expansion is imminent. Now the industry is showing signs of recovery, and our expansion plan has already started. Guo Weili, executive vice president of Fuxing Group.

"This year, these enterprises have expanded their production capacity to accelerate the pace of development. This can be seen from the sales situation of zipper machinery one or two. Zhou Yiyang, director of the Fujian zipper chamber of Commerce Secretariat, said. According to him, as companies expand their capacity, this year, the zipper machinery industry in the supporting industry has seen the longest selling season in recent years. A few high-end equipment will be booked three or four months in advance.

Phenomenon: the supply of zipper machinery is in short supply.

"Our sales since the beginning of 2010 are very good. Orders are in the middle of July. During this period, I dare not pick up the new order, but I can't deliver it. In the face of the day to day good market situation, Jinlong zipper machinery Co., Ltd. Jinjiang office business manager division Fu friends mixed.

With the financial crisis, the zipper industry has maintained a good recovery since the second half of last year. The revival of zipper industry has led to the development of supporting industry zipper machinery industry. It is understood that since the beginning of this year, Fujian zipper enterprises demand for equipment more and more, zipper machinery industry sales warming.

"Not in the same breath." Referring to the comparison of sales this year and the same period last year, Si Fuyou said.

It is understood that Jinlong set up an office in Jinjiang in September 2008, and soon after entering the Fujian market, it encountered financial crisis at the end of that year. Under the crisis, Jinlong suffered a cold spell in the market because of its conservative investment. Fortunately, after the crisis, it was a heavy day. From the end of last year, Jinlong's orders began to rise, and after March this year, the sales peak has continued.

Local zipper enterprise - Jinjiang Yitai Weaving Machinery Co., Ltd. also felt the good market situation. Since the beginning of this year, the company's domestic and foreign orders have increased considerably. According to Shen Zhenggang, director of the company's production, the purchase orders for local enterprises increased by about 2 in 1-5 months, and two months ago, the company's order had been placed in June.

"It will be 3~4 months ahead of time to order a device, otherwise it will be difficult." Recently, many zipper enterprises reflected in the internal conference held by Fujian zipper chamber of Commerce.

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Analysis: growth of textile and garment drives zipper industry

"This year, the demand for textile and apparel in the downstream industry of the zipper is growing well. Most of the zipper enterprises in the first half of the year are in short supply, and some enterprises have doubled their performance even compared with the same period last year. Almost all the zipper industry in Fujian felt the positive demand of the downstream industry increased. Xu Shuhu, President of Fujian zipper trade association, thinks that

It is understood that the two quarter of 2010, the textile and garment industry accelerated growth, the whole industry continues to maintain an upward trend. The textile industry boom index of China textile industry shows that after initial seasonal adjustment, the sales revenue of textile industry in the two quarter was 657 billion 750 million yuan, an increase of 25.2% over the same period, an increase of 16.1% compared with the same period, and the sales revenue of garment manufacturing industry in the two quarter was 264 billion 990 million yuan, an increase of 26.1% over the same period, an increase of 9% over the same period.

The driving force of textile and garment industry to maintain growth is mainly three: first, the revival of export market. The rapid growth of exports was the highlight of the textile and garment industry in the first half of the year. Driven by the revival of European and American markets, textile exports in the first half of the year increased by about 32%, while clothing and accessories exports grew by about 16% over the same period last year. The growth of exports led to the growth of textile and clothing sales revenue. Two, there is a strong demand in the domestic market. From 1 to May 2010, China's clothing retail sales increased by 23.1% over the same period last year, which is 4.9 percentage points higher than that of the total retail sales of social consumer goods, which has become an important driving force for the growth of the textile and garment industry. The three is the rise in factory price. To ease the impact of rising raw material costs, the textile and clothing industry generally raised the price of products in the two quarter, and the factory price of industrial products rose by 1.7% and 0.6% respectively, which is one of the contributors to the increase in sales revenue. The volume and price rose to make the textile and garment industry achieve rapid growth in the first half of the year.

Development: the zipper industry should stick to the road of brand development.

Whether the good performance in the first half of the year shows that the zipper enterprises have managed to ride out the difficulties and bear the impact of the financial crisis? "There are already some signs of falling demand in some parts of the market, and orders are showing signs of decline. The situation should not be too optimistic. Enterprises should remain calm." Shi Nenghui believes that the market trend in the future depends on the demand in the second half of the year. Zhou Yiyang is more optimistic than Shi Nenghui's conservative. In his view, autumn and winter clothing, bags for zipper products demand is high, zipper industry in the second half of this year will usher in the peak season.

No matter what the future market is, the two senior professionals in the industry believe that enterprises that have experienced crisis baptism should pay more attention to brand building. Shi Nenghui said that in the future, customers in downstream industries will make more stringent demands on the quality and service of zippers. The zipper enterprises should jump out of the fierce competition in the middle and low end market, and move towards the high-end market and start the brand.

Xu Shuhu, President of Fujian zipper chamber of Commerce, also suggested that guiding enterprises to vigorously promote brand strategy will be the main task of the chamber of Commerce in the future. "Brand is the lifeline of an enterprise. With the shrinking of the financial crisis market, our industry is not moving towards small profits. We insist on brand and quality and win credibility. This has laid a solid foundation for the whole industry to get out of the crisis and expand market share. This year, the chamber of Commerce has led two enterprises to apply for provincial famous trademarks, and two companies have applied for the famous trademarks in Quanzhou. In the future, we will continue to guide member enterprises to take the brand line. "