Shoe Material Industry Market Downturn &Nbsp; Dongguan Shoe Enterprises Collective Brewing Price Increase

March 29th hearing yesterday was the first day of the twelfth China (Dongguan) international shoe machine shoe material industrial technology exhibition (hereinafter referred to as the international shoe exhibition). Shoe material booth There are only 3. There are enterprises complain about raw materials, Administration cost The rising pressure has compacted profit space repeatedly, and this year's export situation is not optimistic.

Market makes shoe material enterprises cold

Yesterday, after walking around the venue, only 3 shoe materials enterprises were found. Compared to the bustling front of the textile and garment exhibition, shoe material exhibition stand is deserted.

When communicating with reporters, Chen Yichao, head of Shunda shoe material company, shook his head and said, "we originally planned to design two exhibition stands to see today's situation. One is enough." Chen Yichao said, two shoe material enterprises originally intended to participate in the exhibition, but eventually gave up.

Shoe material enterprises were cold shouldered, and Chen Yichao blamed the whole market.

This year, cotton prices continued to rise, and international crude oil prices gradually climbed. The rising cost of raw materials has obviously spread to shoe material enterprises. "According to our own estimates, the cost of raw materials this year has increased by about 40% over the same period last year." Chen Yichao said.

According to common sense, raw materials and Rising labor costs The price of shoe materials will rise correspondingly, but this is not the case. The prices of raw materials in the lower reaches continue to rise, and the ordering companies in the upstream are reluctant to raise prices, which makes the shoe material enterprises in the middle position "suffer from being caught in the dark". "Our ordering businesses can at most share the cost of 1/5 for the enterprise, and the rest is digested by ourselves." Chen Yichao said his company has few profit margins for its shoes.

In addition, the continued appreciation of the renminbi also has an impact on Dongguan shoe materials enterprises.

Many factors make the shoe material market depressed. Chen Yichao said that profit margins have been squeezed, orders have not seen improvement, and shoe companies are not enthusiastic about exhibiting.

Dongguan shoe companies collectively raise prices

As the footwear industry in Dongguan is still dominated by foundry, it is more sensitive to the rising cost of raw materials. Shoe material cost and freight rise substantially, let Dongguan shoemaking enterprise deliberate rise in price 5%-15%.

Wang Wei, director of Dongguan bejia shoe industry, said that he had just finished negotiations with foreign clients and hoped that foreign customers could take part in the cost sharing. Wang Wei said: "the negotiations turned out well. This year has reached the limit. If we do not raise the price, we really can not do it. "

Dongguan shoe industry Leather Association, a responsible person, said: "because of the rising price of raw materials this year, in order to avoid risks, many small and medium-sized shoe-making enterprises do not dare to receive long lists, only short lists."

Wang Wei said that the big shoe manufacturers like Bei Jia can also receive long orders, but they need to sign agreements with customers in advance. "We have to spread the cost. If the price of raw materials continues to rise, we will raise the price."