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    Prices Rise, Profits Fall, Textile And Garment Enterprises Are Still Trapped In Cost

    2010/12/8 8:59:00 23

    Price RisesProfits FallCost Of Textile And Garment Enterprises Trapped


    Exports are expected to reach US $200 billion a year.

      


    As international market demand rebounds,

    Chinese textile and garment export enterprises

    Smooth implementation of the price adjustment, 1~10 months this year, the export volume has exceeded the amount of last year, the total export volume is expected to reach 200 billion US dollars this year.

      


    "There are more orders than we can finish."

    Nanchang Hengli Tai Clothing Co., Ltd.

    General manager Song Guangfa told the first financial daily.

      


    Middle and high-end fashion

    Men's shirts

    and

    Casual Wear

    It is the main product of Shanghai's three largest international apparel limited. Its main market is in Europe and South America. A foreign trade department of the company told reporters: "the export price of clothing has increased by about 20% this year, and orders are still large. In previous years, clothing exports were buyer's market, and this year has become a seller's market."

      


    Located in Zhengzhou

    Henan Marriott Garments Import & Export Co., Ltd.

    Also introduced, the company's export clothing prices have also risen by about 20%, and the export volume has increased by about 25%.

    With the increase in prices and orders, the export volume of song Guang law has reached 140 million yuan this year, up 30% from the same period last year.

      


    Wang Qian, editor in chief of the first textile network, said that in the first few months of this year, the export unit price of knitted and woven garments of domestic enterprises did not change significantly, and prices in January and March also declined.

    Since May, the unit price of exports has been rising steadily, achieving double growth over the past 5 months.

    The export price in September was $3.9 / piece (set), up 10.3% compared to the same period last year, the first time it reached two digit growth in the year.

    stay

    Raw material

    In the first 9 months, the average price per unit of domestic exports increased and the yarn increased by 11.2%.

    Fabric

    Raise 8.5%.

    clothing

    Raise 3.5%.

    Driven by the increase in prices, China exported 161 billion 530 million US dollars in textile products in 1~10 this year, and the export volume has exceeded the US $160 billion 882 million last year, an increase of 23.13% over the same period last year. In addition to the growth rate of 25.08% in 2006, this growth rate hit the second highest growth rate in the recent 5 years, and the total export volume is expected to reach US $200 billion this year.

      


    Although the sharp increase in prices has raised the export volume of enterprises, the profit has not increased or reduced. Song Guangfa said: "because of the rise in labor and raw material prices, profits fell by 5% compared with the same period last year."

      


    According to the first

    Textile net

    Statistics show that the cost of raw and auxiliary materials increased by about 30% to 80% compared to the same period this year. Cotton and other main raw materials increased more than doubled.

    The labor cost of enterprises has also risen to varying degrees, and recruitment difficulties are troubling enterprises.

    According to enterprises in Jiangsu, Zhejiang and other places, factory recruitment is only seven or eight last year, or even less than 50%. Enterprises can only raise staff salaries substantially, and the salary increase in the Yangtze River Delta and Pearl River Delta is generally 20% to 40%.

    In addition, the state's efforts to increase energy conservation and emission reduction will objectively increase the cost of environmental protection for enterprises.

    The comprehensive increase of cost tests the ability of the textile industry to digest costs, resulting in the continuous compression of the export profit margins of enterprises.

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