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    Foreign Trade Shoe Enterprises: Difficulties In Raising Bargaining Power And Rising Costs

    2011/3/2 11:02:00 36

    Foreign Trade Shoe Enterprises Rise

    March 2nd morning, the twenty-first China East China Import and Export Fair (hereinafter referred to as the "China Fair") opened. As the first exhibition of China's foreign trade, the China Trade Fair has always been known as the "weathervane" of the industry.


    Many exhibitors in charge of foreign trade enterprises said in an interview that the high export growth situation in the first two months of this year can not be expressed.

    foreign trade

    Enterprises will "green light" all the year round, the current order increase rate is difficult to digest all operating costs.

    Rise

    Pressure,

    Exit

    The situation facing enterprises is still grim.


    Wang Yi, executive director of Xiamen Business Development Co., Ltd., told reporters that in January this year, the growth rate of foreign trade was so high that there was a "false impression".


    "Clothing, footwear and other light industrial products are divided into two quarters, December ~2 month is a peak period of shipment, 6~8 month is another peak period, during this period, the export growth is normal."

    Wang Yi said, "if we can say that there will be an increase in the ring Market in the off-season, we can say that our foreign trade situation has improved. For the current situation, the whole foreign trade situation is still not ideal, and the European and American markets are still sluggish, and the markets in India and South America are not open."


    Statistics show that in January this year, China's total import and export volume reached US $295 billion 7 million, an increase of 43.9% over the same period last year, with an increase of 37.7% in total exports.


    In fact, compared with the resurgence of the uncertain external demand market, many foreign trade shoe and clothing enterprises are more worried that although the bargaining power of customers has improved, it is still difficult to digest the rising cost.


    "Now that the price of raw materials has been rising, the company can not afford to buy it. In October last year, when the customer ordered a shirt, when I went to the factory to sample, the price was 43 yuan. After a month, the price of the factory was 50 yuan. When the spring Festival came back to work, the quotation increased to 62 yuan. According to the quote we gave the customer, there was no profit margin."

    The head of the foreign trade department of a garment export enterprise in Zhejiang said to our reporter.


    "Because of the cost of raw materials and labor costs, the price of our products has risen by 5%~10% compared with the same period last year.

    But this can not digest the rise of costs. "

    Yong Hou, manager assistant of Jiangsu sunshine (5.74, -0.04, -0.69%) Dongsheng import and Export Co., Ltd., also said, "only if customers undertake some price increases, can the factory reduce some profits, so as to digest the pressure brought by the rising cost."


    At an internal forum held yesterday morning, leaders from many provinces and municipalities expressed concern about the export situation this year.

    "The enterprises hope that the government will maintain the stability of the export related policies," the official of the Zhejiang provincial chamber of Commerce said.

    Da Jiaxiang, deputy director of the Jiangsu Provincial Department of Commerce, said: "the policy must be long-term and stable, and the situation of export can not be weakened as soon as it improves."


    Relevant officials of the Zhejiang provincial chamber of Commerce pointed out that at present, the seriousness of the export situation is also in the "forced" pformation of enterprises, so as to enhance the added value of export products in order to achieve sustainable development.


    However, some foreign trade shoes and clothing enterprises also said that "pformation is difficult".

    "Unlike Japan, the high-tech industry chain is relatively developed, and our country is still a big manufacturing country. The pformation of our industry can only increase the added value."

    Yong Hou said, "the research and development of new products is also very difficult. If there is no order, the factories are unwilling to process, and the funds for R & D investment will be wasted."

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