Jintan, Jiangsu: Export Bonus Of A Small Clothing Town

At four in the afternoon, Ma Suoguo, general manager of Changzhou CHEN Ye Garments Co., Ltd. entered the workshop on the third floor, picked up a batch of semi finished shirts with nail buttons and picked them up to see if they were strong enough. There are some sewing machines in the huge workshop, and some of them are covered with blue cloth. Obviously, they are useless for some time.

"It's all right to go through these days." Ma lock Guo has his bottom line on the four floor of the finished workshop, they are all custom-made shirts for customers are packing. This is the largest order they have just taken, and the processing capacity accounts for 1/4 of the brand.

Ma's company is located in Jintan, under the jurisdiction of Changzhou, Jiangsu. 85% of the products of the Jiangnan small town are exported and Pinghu, Zhejiang is also known as "China's export garment manufacturing city". "70% of our enterprises have fulfilled their orders in the first half of next year." Wang Jufu, Secretary General of the Jintan textile and garment industry chamber of Commerce, said with great assurance that if the enterprises could not sustain themselves, the garment enterprises in Jintan also collapsed finally.

In the current credit crunch and trade downturn, Jintan's 20 million yuan or more enterprises increased sales by 1-9 over the past 1-9 months.

Good results have benefited from the accumulation of the local garment industry for many years. Nearly 800 textile enterprises in the city produce about 400 million pieces of clothing each year, and the tax revenue accounts for 1/5 of local general budget revenue, with an annual export volume of nearly US $600 million. There are 22 enterprises that sell over 100 million yuan a year, some of which are gradually increasing in negotiations with merchants. discourse power 。

The Jintan textile and garment industry association's investigation report just completed at the beginning of this month believed that the local garment industry's participation in the global integration competition has gradually matured. {page_break}

　　 Small town ushered in exports dividend

The clothing industry in Jintan started in the 60s of last century and grew rapidly in 90s. Today, there are 797 textile enterprises in the city, of which 462 are garment enterprises, 211 are weaving enterprises, and more than 300 are finishing and supporting enterprises such as printing and dyeing, embroidery, etc., with total assets exceeding 1 billion yuan and nearly 50 thousand employees.

"About 6000000000 of the world's population, every 20 earth people, there is one wearing" made in Jintan "clothing. Wang Jufu said that no industry in Jintan has such a high degree of agglomeration, such a large production capacity, such a significant export oriented characteristics, and the explosive growth of the whole industry is exactly the years after China's accession to the WTO.

The opening of international trade brings unprecedented opportunities. Wang Jufu told reporters that since 2005, the EU, the United States, Canada and Turkey had all abolished quota restrictions on the export limits of textiles, and the annual output of clothing in Jintan jumped from 180 million to 350 million, almost doubled.

"Before we have to make orders in Europe and America, or pay high tariffs, or we must get quotas, which is very troublesome." Luo Xingzhou, deputy general manager of Donghua Textile Group, said.

Guo Zhirong, Deputy Secretary General of the Jintan textile and garment industry association recalled that at that time, he worked in the CHENFENG group, the largest leading enterprise in the region, and applied for export quotas to the provincial foreign trade and economic cooperation office. It was an annual event. Sometimes, he had to apply for two times a year. Quotas are not consistent with actual export products, which is a headache.

WTO has brought opportunities for the development of the garment industry. All enterprises can compete freely and fairly. The garment industry in Jintan has made rapid progress and the production capacity is comparable to that of the international first-class garment enterprises. "There is no clothing that we can't do in Jintan." Wang Jufu said that in the past 2002-2006 years, not only did sales volume break through, but profits also reached the highest level in history.

At that time, the huge County town produced all kinds of fabrics in formal dress, fashion, children's wear, casual wear, underwear and down garments. Almost all clothing categories. Nearly 200 of the top 300 "sewing machine" clothing brands in the world have cooperated with Jintan's clothing industry, including "GAP", "San Nuo long", "NAUTICA", "Valen Connaught", "POLO", H&M, UNIQLO and other international famous brands.

Jiang Hengjie, executive vice president of the China clothing association, had a joke at the time: "no cooperation with Jintan. international brand Shang, that must not be a big name. "

"Without WTO, all this is unthinkable." Wang Jufu said. {page_break}

　　 We suffer market Guidelines

Orders not only mean sales volume and profits, for example, the third party "inspection factory" before the international manufacturers place orders, which is the opportunity to standardize production and improve management.

Ma's enterprises mainly take orders from Japan. The country, which is famous for its fine quality, is also fully equipped with factory inspection indicators: the machine is not clean enough to be deducted, the standard allocation of the tool bag is not in place, the points should be deducted, and the lamp can not be placed in the auxiliary material warehouse. The operation table must be clean, and the personnel who will inspect the factory will take out the magnet and move back and forth in the gap of the ground to see if there are any dropped needles.

"When I first experienced this factory inspection, I was really surprised." Ma Suoguo said, but the actual experience down, think this is very helpful to improve the management ability of enterprises. For example, the Japanese factory requires that if there is a broken needle in the production process, every time, there must be a record, including the time and reason of the broken needle, the batch and color of the cloth, etc., which is very good for quality control. "Before the Township Enterprises Bureau to help us improve, now directly benefit from the market guidelines." Ma Suoguo said.

Guo Zhirong, Deputy Secretary General of the Jintan textile and garment industry association, said that in addition to confirming the qualifications of manufacturers, factories often include indicators such as labor intensity, production environment and staff housing conditions. Foreign manufacturers call it "human rights protection", which is essentially a variant of trade barriers after the abolition of tariff barriers, with the aim of increasing costs to producers.

Even so, manufacturers still prefer to accept some harsh factories. "This means raising the threshold for entry and ensuring healthy competition." Luo Xingzhou of Donghua textile said that this also made the entire textile industry get rid of the extensive extension of low-grade.

In the past ten years of joining the WTO, Jintan garment manufacturers have reached the international advanced level not only in their equipment, but also in leading domestic enterprises, and have also developed their own senior management talents and industrial and technological talents including R & D, design, print, order, translation and equipment maintenance.

"Our participation in the global integration competition has gradually matured." Wang Jufu said. {page_break}

　 Is there any bonus after dividends?

Wang Jufu also did not deny that in the 2002-2006 year after the full release of the "WTO" bonus, the export garment industry entered a period of "increasing volume and falling prices".

A garment made in Jintan and priced at Euro 50 in Europe may only get one or two euros. People in garment processing industry calculate this account to be more vivid: "processing a foreign trade garment, and finally earning only a collar money."

"Long-term OEM production makes enterprises almost lose the initiative of their own brands." Wang Jufu spoke frankly about the weakness of the local clothing industry.

But the dilemma of "dressing for others" forced Jintan's clothing industry to find new living space in the global production and marketing framework provided by WTO.

A marketing manager of the local brand "Wei Ni Wei Xi" believes that in the Chinese and foreign clothing trade, the restrictions imposed by the foreign countries on our country are mainly reflected in quantity rather than amount. If we want to achieve the increase in the profit of the trade volume, we must develop our own brand.

With their brands, enterprises are more likely to occupy the two ends of the "smile curve". Wang Jufu told reporters that as a strategic partner of Japan's famous clothing brand "UNIQLO", CHENFENG group proposed at the end of 2010, the price rise was 15% since 2011. After turning around the world, Japanese customers returned to accept the conditions of the morning breeze group, because compared with the cheaper countries such as Vietnam, Bangladesh and other Southeast Asian countries, Jintan's clothing manufacturing industry has obvious comparative advantages in terms of supporting the industry chain in the various aspects of the manufacturing process.