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    Garment Industry Exports Will Also Face Complex Situation.

    2011/2/23 16:03:00 58

    Garment Industry Export Raw Materials

    Because of the increasing uncertainties in the international market, China's textile and apparel industry this year

    Exit

    Or will face complex situation.

    The weakness of world economic growth, the sovereign debt crisis, the pressure of RMB appreciation, and the rising cost of labor, raw materials and other factors will have a certain impact on China's textile exports.


    From the external pressure, although the European and American textile and garment market has signs of recovery, it has been slow to recover.

    In the absence of obvious expansion of international market demand, China's textile exports can achieve such a valuable performance. But at the same time, we should also see that this year's slowdown in global economic growth and slower growth in consumer demand will inhibit the growth of China's textile and clothing exports, while the increase in pressure on the appreciation of the currency will also weaken the competitive advantage of Chinese textiles and clothing in the international market, and may even lead to the loss of some orders.


    Now RMB appreciation is a double-edged sword.

    "Any further appreciation of the renminbi may cause exporters to go bankrupt, which is not affordable to China".

    Vice Minister of Commerce, Zijin Mountain, figuratively said, "if the water is heated to 99 degrees, it will not boil, but if it continues to rise 1 degrees, the water will boil."

    This shows the fragile situation faced by Chinese textile and garment exporters.

    At present, the average net profit margin of the entire textile industry is 3%~4%, which will not exceed 5%. If RMB appreciation exceeds 5 points, more than half of the enterprises will be strongly affected.

    If the import quota of cotton in the future is not properly liberalized, then the textile industry will appear in RMB.

    appreciation

    After that, a large number of orders will be lost, and the average profit will be zero.


    From the perspective of domestic factors, China's textile industry is also facing the pressure of rising labor costs and raw material costs.

    Under the influence of these factors, the growth rate of China's textile and clothing exports will also slow down in 2011.

    Recruitment difficulties are becoming the number one problem in the development of China's garment industry.

    Before the Spring Festival, cotton prices took a "roller coaster", and the sharp rise and fall of raw material prices gave a heavy blow to the clothing industry. As a whole, in 2010, the number one problem restricting the development of the clothing industry was "recruitment difficulty". Although the situation in the North was better than that in the southern provinces, the attrition rate of the workers in garment enterprises was also generally 10%~20%.

    In 2010, due to the high labor shortage in the national garment industry, the overall operating rate of the coastal areas reached only 70%.

    cost

    The rise and other factors will reduce the operating rate to 80%, while increasing the proportion of outsourcing processing, and around 50% of SMEs will be everywhere.

    In terms of recruitment difficulties, Shandong is better than other coastal provinces, but the turnover rate of workers is generally around 10%~20%.


    Over the past 20 years, the abundant supply of labor and abundant reserves have brought considerable demographic dividends to China's textile and clothing economic growth.

    However, 74% of the new generation of the new generation of labor concept, structural labor imbalance and other factors show that the positive effect of "demographic dividend" on the development of textile and clothing has gradually weakened.

    In fact, there are some factors that impede the positive economic effect of the "demographic dividend", but at present, the shortage of rural labourers is difficult to pfer in addition to the factors of the population age and the lack of skills.


    Although various unfavorable factors affect the development of the textile and garment industry, it is an important way to enhance the international competitiveness of the textile industry and to overcome the unfavorable factors by pforming the traditional industries with high and new technologies and improving the contribution rate of innovation, technology and brand in the industrial development.

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