Textile Exporting Countries Practice Three Major Decompression Techniques

By the end of the year, the European and American economies still failed to get rid of their fatigue. In order to alleviate the negative impact of the sharp decline in orders in these two major markets, major textile exporting countries in Southeast Asia have been making frequent moves in recent years. Or to put the Japanese market back on strategic planning as the main destination for export of textile and clothing products, or to sign trade reciprocal provisions to find out the nearest target exporting countries, or to find emerging market opportunities from the advantages of products. stay European and American orders Worse and worse, textile companies across the world realize that waiting for orders can not solve the current dilemma. And take the initiative to open up new ones. export market Giving full play to the advantages of the local textile industry has become the main practice of the major textile powers. decompression 。

Decompression 1: finding confidence in the Japanese market

In March this year, the outbreak of the Japanese earthquake once weakened the confidence of various countries in the Japanese consumer market. However, after more than half a year's development, the demand recovery after Japan's earthquake has prompted textile manufacturers to return to the main strategic market compared with the haze of the European and American markets. On the other hand, Japan's textile and garment industry's recent highly diversified import market strategy has also led Bangladesh and Pakistan to see opportunities. Kazuo Niijima, senior manager of the Japan apparel and Apparel Industry Council, said that Japan is now trying to reduce its dependence on a single country's products, so that the textile and clothing products of Southeast Asian countries are likely to be favored.

In recent months, Bangladesh knitwear manufacturers are developing other markets other than Europe, and the rebound in the Japanese market has made it the only choice for Bangladesh exporters. In order to expand its share in the Japanese market, Bangladesh knitwear exporters plan to visit Japan in January 2012 and participate in the large-scale textile and garment exhibition held in Japan. "In the past 15 years, Japan has imported 24 billion dollars of textiles and clothing from the global market," said BKMEA, vice president of Bangladesh knitwear manufacturers and Exporters Association. Of these, 87% were imported from China, while Bangladesh accounted for only 0.6%. This year, we hope to increase our share in the Japanese market. "

At the same time, the Pakistan industry, which is under pressure from energy shortages and orders reduction, also hopes to find business opportunities in Japan. But the Brazilian industry pointed out that Japanese consumers have higher requirements for brand and quality. If we want to make a difference in this market, we must enhance the added value of the products, and the processing of the details and the processing of the two products are too careless.

Decompression two: promote bilateral trade preferential policies

In addition to redefining Japan as a strategic market, it is also a keen choice for textile manufacturers to work together with trade partners to promote preferential policies for textile exports. Bangladesh has become the biggest beneficiary in the implementation of this market strategy.

In early September of this year, under the active efforts of policymakers in Bangladesh, the government of India announced that it would exempt 46 kinds of textile tariffs imported from Bangladesh. Specific products include shorts, shirts, T-Shirts, skirts, children's wear, cotton pajamas, jeans, swimsuits and sports jackets. For Bangladesh clothing exporters, the move is undoubtedly good news. Bangladesh's textiles can enter the India market with more significant price advantage. The imported garments from Bangladesh are 20% cheaper than those produced in India. Within one month of the implementation of the policy, Bangladesh's exporters received orders for garments and garments from India totaling US $90 million. The total monthly orders were equivalent to the Bangladesh garment exports to India in the first quarter of last fiscal year (2011~2012).

Bangladesh clothing manufacturers and Exporters Association pointed out that despite the lack of raw materials production base, but compared with the clothing industry in India, Bangladesh is more cost competitive. At present, this comparative advantage is more prominent in woven garments and knitted garments. "In the India apparel market with a total market volume of US $28 billion, Bangladesh accounted for only 0.0013% of our products. This means that the state has larger and more open market space. We can make full use of the relevant preferential policies to compensate for the contraction of the European and American markets through the growth of the India market. " The association representative said.

Decompression three: "get far away from home" to develop new markets

In the context of the weakening economy in Europe and the United States, the development of emerging markets has become the consensus of textile companies across the world. Today, with the accelerating process of regional economic integration, it is one of the ways to ease pressure on textile exporting countries to explore the potential consumer market in the region.

Despite the expected reduction in exports from major markets in Europe and America, Thailand's home textile industry is optimistic about ASEAN's exports. Thailand think tank Taihua Farmers Research Center recently estimated that the export volume of Thailand household textiles to ASEAN will increase to 70 million US dollars in 2011, an increase of nearly 50% over the previous year. The center points out that ASEAN is becoming an important export market for home textiles in Thailand. In the first half of 2011, ASEAN became the second largest export market for home textiles in Thailand, and its exports increased by 44.4% over the same period last year. According to the analysis, the growth of data mainly benefits from three factors. First, the tax reduction policy of the ASEAN free trade area promotes the cost advantages of Thailand's home textile products; secondly, ASEAN consumers pay more attention to the consumption of home decoration; thirdly, the market trade protection of ASEAN countries is more relaxed, which can provide convenience for the entry of products. The Thailand industry believes that in the current situation, it is better to exploit the Latin American and African markets with a view to developing the Latin American and African markets.

Aware of this is the textile industry in India. Over the past two years, the India government has implemented a series of measures to strengthen the development of new markets. Bangladesh and China have become new export destinations for India's textile and clothing products. India textile industry executives said that the deterioration of demand in the major markets not only damaged India's textile industry, but also made India lose competitiveness in the downturn of the global market. Siddharth Rajagopal of the India Export Promotion Agency (Texprocil) has pointed out that intra Asian trade is showing an increasing trend, and the consumption momentum of these countries will become more and more prosperous. "In the current situation, India textile industry needs more efforts to develop new markets and diversify the export market, and the first step in this process is to enter Asian neighboring markets." Siddharth said.