Local Shoes And Clothing Improve Product Prices To Digest Cost Pressures

In August 28th, "a pair of trousers will be 50 percent off yuan more than 200 yuan this year, almost the same as last year's 20 percent off."

Yesterday, reporters interviewed found that

Autumn and winter

The rise of autumn and winter clothing seems to be the main tone of the clothing market.

This is confirmed by the local garment enterprises.

Yesterday, Xu Mujie, chairman of Xiamen Wan Jie Long group, told reporters that the autumn winter clothing of Santa Fe will have an increase of about 15%.

In fact, the rise in clothing prices has been revealed in the spring and summer sales period.

The reporter interviewed a number of listed clothing enterprises in Fujian half a year report found that in the first half of this year, clothing enterprises have coincidentally chose a small price increase.

According to XTEP (01368.HK) semi annual report, the average selling price of its footwear products increased by 6.6% compared with the same period last year, and the average selling price of clothing products increased by 13.9%.

Public data showed that in the first half of this year, the average selling price of Anta footwear increased by 2%, while the price of clothing products increased by 7.1%.

The price adjustment of clothing enterprises quickly passed to the sales terminals.

Yesterday, reporters learned from Dongpu Road, a women's clothing store that the wholesale price of summer and autumn clothing increased by about 15% over the same period last year.

"We usually raise the price to about 30 yuan, and the maximum will not exceed 50 yuan."

Shopkeeper Xiao Chen told reporters that some smart women consumers were aware of the price adjustment, and she could only be frank about it.

Production costs skyrocketed 30%

Behind the collective price increases in clothing industry is a substantial increase in raw materials and labor costs.

"Price increases are inevitable and cost pressures are too high."

Xu Mujie said frankly.

According to him, since the first half of this year, the price of cotton yarn has risen by about 20%, and the prices of some other raw materials such as chemical fiber have also continued to rise, resulting in a substantial increase in the proportion of raw materials in production costs, which is beyond the scope of the business.

To add insult to injury, manpower costs are also rising sharply in the same period.

Xu Mujie said that as a labor-intensive clothing enterprise, this year's employee pay surge has become the largest expenditure of enterprises.

"The human cost of the company has increased by 20%, but it still faces the problem of lack of work."

Xu Mujie said.

A garment analyst analyzed that the cost of clothing enterprises in Xiamen increased by about 30% as a result of the increase in raw materials and manpower costs.

The data of the performance reports of the listed garment enterprises confirm the analysis of the operators.

XTEP's annual report shows that the cost of the company's employees increased from 81 million 318 thousand yuan in the same period last year to 95 million 345 thousand yuan, an increase of 17.2% over the same period last year. The cost of raw material sales was 537 million yuan, an increase of 18.7% over the same period last year.