Zhejiang Heng Village Wool Knitting Industry Enters The Fast Lane

Under the beautiful Tianmu stream, the elegant and economically developed South Town, Heng village, has been the gathering and development of the wool knitting industry for 30 years. It has become a "famous knitting town in China", a "Chinese export sweater weaving base" and "a thousand strong town in China".

In recent years, relying on the rich natural and cultural heritage and the profound traditional industrial foundation, the relevant departments of Heng village and township have vigorously implemented the strategy of "ecological town, industrial town, science and technology, and three producing towns".

In 2011, during the opening year of 12th Five-Year, leaders of the town of Heng village looked forward to the future.

In 2010, the year of "11th Five-Year" was ended. In spite of the increasingly complex situation of the international textile export market, the industrial economy of Heng village has achieved a stable and progressive goal. Especially, as the pillar industry of the whole town, the wool knitting industry has been moving towards a good direction of accelerating pformation and upgrading and speeding up development under the new engine of regional economic development.

"2011 is the opening year of 12th Five-Year, and the output value of wool knitting industry in Heng village is expected to exceed 6 billion yuan.

During the period of 12th Five-Year, Heng village will make every effort to promote the pformation and upgrading of traditional industries of wool knitting, focusing on the implementation of the "two major projects" to achieve the strategic goal of "three pformation".

Zhong Yuhua, Secretary of the Party committee of hengcun Town, Tonglu County, Zhejiang, talked about the future development of the wool knitting specialty industry in the town.

Industrial pformation is imperative

After more than 30 years of development, today's Cross Village has become a large country.

Over 95% of the woolen knitting enterprises in the village are purely foreign trade export oriented enterprises. They are the important production bases of knitted brand clothes in the world.

Under the global financial crisis, the woolen knitted industry in Heng village has survived with stable foreign customer resources and excellent product quality. Although there is no shortage of orders, the export-oriented economic structure pattern is directly related to it.

"Heng village's wool knitting enterprises have strong competitive advantages in the production technology, product quality and processing management, so they can make processing for international famous brands, but enterprises do not have the pricing power of products, and the margins of processing profit are getting smaller and smaller. With the increase of domestic labor, raw materials and energy production costs, the development space of enterprises is limited."

Zhong Yuhua said with concern when he talked about industrial development.

Over the years, the pformation and development of Yokomura Mo's knitting industry has always been a matter of great concern to the town leaders.

In recent years, through the "go out" and "please come in", Heng village invited industry experts to "pulse the prescriptions". The town leaders went through in-depth investigation and visits to the enterprises, seriously analyzed the characteristics of the textile industry in the village, gathered the resources advantages, and put forward the "three great pformation" development theory.

Zhong Yuhua told reporters that the three pformation of Yokomura Mo's knitting industry is to pform from "bulk economy" to "cluster economy". The two is to pform from a "single export-oriented economy" to "an economic mode with both domestic and export sales". The three is to pform from "pure OEM production" to "domestic and export brand apparel".

Heng village will support a series of strategic structural adjustment policies and urge the wool knitting industry to achieve the goal of industrial upgrading.

{page_break}

Reporters in the interview learned that in 2010, Heng Cun town was classified as "China's knitting industry pformation and upgrading demonstration zone" and "the first batch of massive economy in Hangzhou, Zhejiang province to pform and upgrade the modern industrial cluster demonstration zone".

With the gradual deepening of pilot projects in the demonstration area, the pace of development of Yokomura Mo's knitting industry "cluster economy" will be accelerated in an all-round way.

Industrial upgrading is imminent.

In recent years, with the acceleration of the upgrading of a number of textile industrial clusters in China, the plan for promoting industrial upgrading through professional circulation market has been included in the strategic agenda of the local government. Through the collection and radiation of market trade, technology, information, brand and other resources, the industry and Commerce are effectively butted, thus accelerating the progress and upgrading of the rich people's industry at a higher starting point, and promoting the rapid development of the regional characteristic economy.

In 2010, when studying and formulating the "12th Five-Year" development plan in 2010, the town leaders thought that the upgrading of Yokomura Mo's knitting industry urgently needed to build a specialized textile market with specialized characteristics at a higher starting point, and speed up the upgrading of the local traditional wool knitting industry in the whole industrial chain of R & D, design, brand, trade and so on through the role of terminal market trade.

Through careful and meticulous argumentation, the town leaders put forward two key projects: creating regional brand and building a professional market, so as to realize the interactive development of industrial clusters and specialized markets, and accelerate the rapid development of the rich people's industries and local economy.

Heng village has more than 20 knitting brands and more than 30 years of textile industry history. But due to the characteristics of export-oriented economy for many years, most of the knitted brands are not well-known at present, so it is difficult to win the brand in the domestic and foreign markets and obtain higher profit margins.

In the face of fierce competition at home and abroad, Heng village will focus its attention on the close integration of brand strategy and industrial pformation and upgrading. After a lot of in-depth research, the town leaders put forward in the "12th Five-Year plan" that we should vigorously implement the brand strategy, and strive to promote the "regional brand" construction of Heng village, and promote the overall upgrading of the knitting brand in the whole town.

Zhong Yuhua said: "we need to build a regional brand, seize the high end of the industrial chain, improve the added value and profits of the products, thereby achieving greater room for survival and development."

It is understood that at present, Heng village is planning to set up a joint knitting enterprise of Heng village. 13 representative enterprises are actively participating in it. The two level government of Tonglu and Heng village is also stepping up research and formulation of relevant supporting policies. Through the joint efforts of the government and enterprises, the regional brand of horizontal knitting wool knitting will be jointly built, and the upgrading of horizontal knitting industry will be further promoted with the promotion of regional brand.

It is understood that, in order to fully promote the pformation and upgrading of the wool knitting industry, the town of Kampo is increasing its support efforts, formulating a number of supporting policies, encouraging the knitting enterprises in the town to increase investment in technological pformation, and providing services in the aspects of enterprise financing, scale expansion and other aspects, and tackling common technical problems in knitting industry, focusing on integrating resources, providing information consulting, business training and other services.

At present, the preparatory work for the construction of the professional market for the knitting industry of Heng Cun is in full swing. It is expected that the foundation will start in early September, and it is expected to start business from the fourth quarter of next year, and a market landscape with tourism and shopping as a whole will be formed.