Internal And External Troubles Push Textile Industry Upgrading

　　 cotton The price is soaring all the way, and the direct impact of rising cotton prices on enterprises is the rapid rise in costs. profit Slide downward.

From September to early November, China's cotton prices climbed steadily, rising from 18 thousand yuan per ton to 30 thousand yuan, or about 70%. Unfortunately, cotton prices are different from stocks, and inflation is not necessarily a good thing. stay textile industry Cotton is the most basic raw material. Cotton fiber accounts for almost 60% to 70% of the cost of production.

The textile industry is facing a severe test of survival. On the one hand, the rising labor and raw material costs cannot be avoided. On the other hand, in the face of strong brand dealers, the export price of enterprises is difficult to raise. In such a situation of internal and external troubles, enterprises can only secretly lower their profits in order to survive.

Li Xuerong, senior researcher of CIC consultant, told China Daily News reporter: "the rising cotton prices have the greatest impact on small and medium sized foreign trade enterprises making low-end products. These enterprises can hardly digest their cost pressures by raising prices, so they can only avoid bigger losses by stopping production and shutting down production. In the short term, these enterprises can take substitutes to reduce costs and ensure profits, so that enterprises can continue to operate. But in the long run, we must rely on structural upgrading and increase the added value of products to deal with the crisis.

Gu Qingliang, a center for textile economics and management research at Donghua University, also told reporters in an interview with "China made news" that the most recent trend is not only in the quantity but also in the time of delivery. As the market changes faster, buyers in the past will provide the required templates themselves, but now they will ask suppliers and manufacturers to provide some new styles. Only when these enterprises have the competitiveness, will they have room for survival in the future. "Now the market changes force these enterprises to upgrade. Only by improving the ability of product design and innovation, changing the way of production and processing of enterprises, can enterprises obtain more room for survival. Upgrading is upgrading of the whole process, including process upgrading, product upgrading, and functional upgrading, rather than mere product upgrading. "

In fact, some textile enterprises have already tasted sweetness through industrial upgrading. A textile enterprise in Jinshan, Shanghai, started with single processing, then upgraded and developed products for customers. Not only retain customers, but also get additional value-added customers, such as the added value of processing and value-added services. In 2009, the profit of the company was 10 times higher than that of the same industry, and its growth rate was over 30%.

The upgrading of enterprises is inseparable from the support of policies. Gu Qingliang also pointed out that, first of all, the government should play a guiding role in planning the overall layout, which can not lead to overcapacity and vicious competition. Secondly, the government should set up some platforms for labor training and reduce the production cost of enterprises. Thirdly, the policy on workers should be well coordinated. Local governments should have a correct guide to the movement of labor force. If the cost of mobility is high, the advantages of the central and western regions can not be brought into play, and industrial upgrading will be more difficult. Finally, the government should support technological innovation and use the development of materials and new fields to stimulate the textile industry, which should not only be expressed in quantity, but also at the level.

　　 "In policy support, enterprises should be encouraged to adopt advanced technology and equipment at home and abroad to improve their competitiveness." Li Yun, an analyst with the textile industry of national capital securities, said in an interview with "China made news". He also pointed out that in 2009, the government raised the export tax rebate rate of textile and clothing by 2%. At the same time, some policies and measures, including credit, finance and taxation, support for small and medium-sized enterprises and encouragement to enterprises' independent innovation, were being formulated.