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    There Are Single Dares Not To Pick Up &Nbsp; Garment Export Enterprises Are In An Awkward Situation.

    2011/5/23 14:37:00 52

    Garment Export Orders

    Recently, in Jiangsu.

    Exit

    There is a surprising situation in enterprises, facing the gradual improvement of exports.

    Trade

    There are many foreign trade orders, but many export enterprises are afraid to pick up large orders and long lists.

    These enterprises are more worried that the more they receive, the more they will lose.


    The embarrassment that "let alone dare not" is a slight appreciation of the renminbi.

    foreign trade

    Enterprises can not talk about prices with foreign businessmen.

    The appreciation of the renminbi has obviously weakened the international competitiveness of export products.

    Taking the textile industry as an example, the sales profit margin of the textile and garment industry will drop by 2% to 6% when the value of RMB rises by 1%.

    Because of the expectation of exchange rate changes, the confidence and motivation of foreign trade enterprises in developing new customers and new markets are largely restricted.

    In order to avoid exchange rate risks, these enterprises have to be cautious and mainly focus on short-term orders.

    But the long list with relatively high income is afraid to start.

    It not only causes the export enterprises to fail to advance their plans and arrangements, but also makes exporters in a dilemma when talking about prices with foreign businessmen, for fear that prices will rise too much and lose orders.

    It is the export enterprise's ambivalence that worries about gains and losses, which makes the company lose many large orders that can make greater profits.


    Severe fluctuations in raw materials also make exporters unable to breathe.

    Since the beginning of the year, the rapid rise of international commodity prices has induced the pace of rising domestic energy and raw material prices. At present, the international cotton prices have risen by over 140% over the same period, and copper prices have increased by 20% over the same period.

    This has a considerable impact on downstream export enterprises.

    Take rail vehicle bidding as an example, a well-known export enterprise in China has an overseas order of more than 800 million US dollars.

    However, large scale rail pit equipment has dual features of technology intensive and labor intensive. Its cost structure is very sensitive to price changes of raw materials such as steel. Domestic inflation causes great price pressure on export products, so as to complete the current orders, the export profits of enterprises will shrink by 20%, and the competitive advantage of enterprises will gradually weaken.


    In fact, the appreciation of RMB and the rising price of raw materials make the production and operation of export enterprises in a predicament, and the situation that no one has done has pushed the export enterprises to a corner.

    Since last year, "recruitment difficulties" and "shortage of skilled workers" have been plaguing the export enterprises in coastal areas.

    The gap of operators in the electronic information industry and small and medium textile enterprises reached 30% and 20% respectively, and the gap of skilled workers was bigger.

    Some well-known export enterprises have lost more than 40% of their staff, and some enterprises have even lost more than 60%.

    In order to reduce the loss of personnel, many foreign trade enterprises have to raise their salaries before processing, and even shout slogans of "working together, eating together and drinking together".

    There is no interaction between the single person and the labor cost, which further pressure the export enterprises to survive.


    The embarrassing situation of exporting enterprises "dare not answer" is manifested in the fact that most of these enterprises are at the end of the industrial chain, do not grasp the core technology and have no independent brand, and the high energy consumption and low added value projects still account for a large proportion.

    When the international market appears to be on the move, the less competitive export enterprises will drift along with the current. The strong shocks will cause the export enterprises to face a survival crisis.


    The export enterprises' "dare not pick up" situation, shows that the era of participation in international competition and cooperation with low cost and comparative advantage is coming to an end and will enter a period of high cost and tight constraint. The real conditions are forcing us not to rely on cheap products to fight the world. It is a reluctance but obliged pformation for export enterprises to accelerate their independent innovation and realize the pformation from OEM to their own brands.

    Only by grasping the core technology of export products can enterprises improve their bargaining power.

    In the process of helping pformation and upgrading of export enterprises, the government is stabilizing the RMB exchange rate, helping traditional export enterprises to tide over difficulties, and gaining time and space for pformation. When attracting foreign capital, it should pay more attention to its cooperation with local export enterprises, combine industrial pfer with technology pfer, and encourage qualified local export enterprises to "go out" and make profits in space, so as to accelerate the pace and efficiency of the pfer and upgrading of export enterprises.

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