Part Of The Garment Companies To Reduce The Size Of &Nbsp; Shuffle Or Aggravate

Recently,

Cotton prices rose 15% in the short term.

After the Spring Festival, most enterprises began to busy for the new year's production tasks, but for some textile and garment enterprises, they forced themselves to idle down - to reduce production scale or even to suspend business.

"Cotton prices are far too ridiculous. They have risen nearly one or two percent in recent years, and the price of products has not been raised.

Feng Feng, a clothing company in Shaxi, complained to the author that he had been working on the project for more than half a month, and that his factory was still in a semi operational state.

"Even if the price of cotton has not gone up so much, our factory can not produce normally, because there are no people at all, and last year there were more than 80 people in our company, and less than half of them were reborn on schedule as scheduled." Feng told reporters that he personally went to the bus stop and other places to recruit workers before the Lantern Festival, but the cold scene made him lose heart. There were few people asking for jobs, and only a few of them asked for a high price. "A casual general worker needs more than 2000 yuan / month, and also asks for a package of room and board."

Rising raw material prices and rising labor costs...

Like the price of the outside world, the garment factory has suffered a lot of noise.

Take last year's textile and garment export data of Zhongshan as an example, the export unit price increase has not been able to catch up with the growth rate of export value.

It is understood that the domestic 328 grade cotton spot after the Spring Festival by the United States cotton price rise and other factors increased, the number of days to stand on the price of 30 thousand yuan / ton high, 10%-15% higher than the end of last year.

Because of the lack of labour in the PRD, many factories have increased their salaries by more than 10% after the end of last year, and almost 2000 yuan - 3000 yuan a month can hardly find workers.

With the rising speed of such costs, some large garment enterprises are gradually unable to bear, and some small garment factories are under greater pressure.

In view of the pressure of production, some enterprises that are weak in digestion and have low cost will either reduce their production scale or stop working alone.

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Industry reshuffle year or exacerbate

All kinds of adverse factors are coming together to make the trend of textile and garment industry unpredictable.

For this year's trend of textile and garment industry, Hong Zhi Zhi, a senior consultant of the international fashion brand development management center, also said that the profit margins of the garment industry may be reduced this year, especially that of the pure foundries.

It is understood that although most of the garment enterprises in Zhongshan begin to choose the international and domestic markets equally and walk on two legs, the vast majority of garment enterprises still rely heavily on the international market.

Therefore, whether the export situation is optimistic will directly affect the development of Zhongshan's textile and garment industry.

According to statistics, there are nearly 700 garment export enterprises in Zhongshan. Among them, the annual export volume is more than 50 million US dollars or more, 2, 10 million US dollars or more, 36, 1 million to 10 million US dollars, about 250.

The type of business is mainly foreign-funded, processing trade is the main trade mode, and export clothing mainly includes casual wear, jeans, underwear and so on.

It can be seen from the above data that at present, enterprises with less than US $1 million in exports in Zhongshan are often in a weaker position in international competition. The pricing power of products is firmly controlled in the hands of international buyers, and their living environment will be even more difficult under the conditions of a large increase in operating costs.

In this regard, industry experts said that after years of rising resources, raw materials and manpower costs, the garment industry has become a small profit industry. It is difficult to have the corresponding space to digest the continued appreciation of RMB, the soaring raw materials and the pressure brought by the rising costs. A number of small and medium-sized enterprises will be closed down and the industry will be reshuffled.

As labor costs rise to an unprecedented level this year, the appreciation of the renminbi is expected to increase and the price of raw materials is running high. This year, more and less competitive enterprises are expected to be shuffled out.

"The remaining production enterprises must speed up industrial restructuring, intensify product upgrading, strive for bargaining power in the international market, and adjust their product prices with the market."