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    Building Up A Good External Environment For Textile Industry Development

    2012/3/5 15:49:00 25

    Financing Of Cotton Brands In The Two Sessions Of Brand Enterprises


    Speaking of how to solve the current problems that perplex the development of the industry, President Wang Tiankai has a clear view and concrete countermeasures.


    "At present, there are many problems encountered in the textile industry. It is necessary to distinguish between the problems caused by market competition and which need the government to use tangible hands to build a more fair and pparent market operation mechanism."

    Opening of the NPC and CPPCC sessions this year, the hot topics discussed in this industry are focused on rising labor costs, financing difficulties and financing.

    cotton

    In terms of price fluctuation, tax relief, energy conservation and emission reduction, Wang Tiankai, chairman of the CPPCC National Committee and chairman of the China Textile Industry Federation, put forward his views in the interview.


    He emphasized that in the new round of international resource allocation, a fair and pparent external economic environment and healthy market competition mechanism have become necessary for China's manufacturing industry, including the textile industry.


    Looking forward to breaking the "cotton price" and "financing" difficulties


    At present, the industry is facing various pressures and needs. Do you have any deeper understanding and opinion on the "spring big research" of China Textile Corporation?


    Wang Tiankai: the China Textile Industry Federation "Spring Research" sent 8 comprehensive groups, and a number of professional groups, to the national key textile industry cluster research, visited hundreds of enterprises, and organized a number of government, associations and enterprises to participate in the symposium.

    From the results of the survey, the opening is basically stable, but the hidden troubles that affect the smooth operation of the industry are also outstanding.


    One of the more prominent problems is weak demand in the international market. The main market in Europe, the United States and Japan is not showing signs of warming. Labor costs are rising too fast. Financing difficulties and financing are expensive. The price of cotton is very complicated, especially for small and micro enterprises.


    Although there are many problems, we must first distinguish which ones are.

    market

    The problems caused by competitive behavior need to be solved by the government.

    In my view, the rise in labor costs is fundamentally a market behavior that is consistent with the law of supply and demand. However, the problems of cotton price fluctuation, financing difficulties and financing are indeed affected and restricted by the relevant institutional mechanisms.


    In response to these questions, what proposals or proposals will you focus on in the two sessions this year?


    Wang Tiankai: through the investigation, we found that not only a considerable proportion of international orders began to pfer to Southeast Asian countries, but also many large textile and garment enterprises in China appeared to run factories in Southeast Asia.

    Many people doubt that this phenomenon is caused by the gradual loss of the competitive advantage of China's textile and garment industry, or the unfair competition environment.


    I think China's textile industry

    clothing

    Doubts about the gradual loss of industrial competitiveness can be negated.

    China has the most sophisticated and mature textile industry chain in the world, and has a large number of skilled workers. The partial pfer of orders is a normal form in the process of global resource allocation, but the country that really can replace China's position in the international textile industry chain has not yet appeared.


    However, this does not mean that we can ignore the existence of risks and risks.

    The pursuit of maximum profit is a normal market economy. Our cotton circulation system is out of line with the international market. Cotton prices are much higher than those of India, Pakistan and Southeast Asian countries. This will create an expulsion effect in itself, resulting in the maldistribution of international resources.

    Reviewing the export data for 2011, China

    Pure cotton textiles

    The decline in exports is most obvious, which partly explains the problem.


    In the survey, enterprises frequently reflect that the impact of cotton problem on the survival of enterprises is the most important and prominent, and urgently needs a reasonable solution. Otherwise, it will inevitably affect the competitive advantage of the whole industry.

    The issue of cotton has also been a hot topic in the two sessions. This year, we will appropriately adjust the proposal angle and submit the way to win favorable policies for the industry and enterprises.

    {page_break}


    Financing and financing are also the main proposals.

    This year, the overall sales of textile enterprises are blocked, inventory backlog and capital chain tension. For many small and medium enterprises, loans are important sources of liquidity.

    However, the threshold of bank loans is increasing. Loan interest rates keep 30%~40% interest rate on the basis of benchmark interest rates. The SME loan audit process is complex, the loan cycle is short, and the "investment advisory fees" and many other items of fees are derived, which make the enterprises unable to bear heavy burden.


    Effective use of market to create favorable environment


    The survival and development of small and micro enterprises is a common concern of all circles. What kind of external environment does the textile and small enterprises need? How does it contradict the survival of the fittest? How do you understand this?


    Wang Tiankai: the textile industry is a pillar industry and an important livelihood industry of our national economy. It is also an obvious industry with international competitive advantages.

    These three positions are established by the state in the light of the long-term strategic objectives of China's economic development.


    Under the current situation, we must have a deeper understanding of the three major attributes of the textile industry.

    The protection of people's livelihood has become the theme of the times. Small and micro enterprises are the main channel to absorb employment. It is the focus of the country's vigorous advocacy and support. The textile industry, as an important livelihood industry, absorbs the functional attributes of employment.


    What needs to be clear is that lightening corporate burdens and encouraging policies are not opposed to building a fair and pparent external environment.

    Take Dongguan, Guangdong as an example, there are tens of thousands of small and micro enterprises in the area. The local government also thinks that shutting down two hundred or three hundred enterprises every year is a normal market behavior. It is a normal and controllable range.

    However, we hope that these shutting down enterprises are truly inferior to the fittest in market economy laws, not because they do not enjoy fair resources and treatment in market competition.


    Enterprises are the basic cells of the industry. Small and micro enterprises are an important part of the economy, and they are also the most dynamic factors.

    The survival environment of small and micro enterprises in China has not been well solved. For the time being, the government has not done enough in the effective use of market economy to create an environment conducive to the development of industry, and needs further efforts.


    Compared with high-tech enterprises, textile and garment enterprises enjoy less preferential treatment and less support.

    Transformation

    What are the problems encountered in the process of upgrading and developing branding?


    Wang Tiankai: as we often say, in a tight environment, we should encourage enterprises to upgrade and pform and take the road of branding.

    The textile industry is dominated by small and medium-sized enterprises, and has the ability to make its own brand and make its own brand bigger and stronger.

    In Guangdong, some enterprises reflect to the research group that the capital and effort needed to make a brand is too large. Once it starts, it is like "two feet in the mire".


    Looking at the international market, the added value and influence brought by brands are obvious to all. It is a difficult project to build a brand. Supporting a brand is not only a product itself, but also involves business models, marketing promotion, enterprise culture, listing operation, capital operation and so on. Its mode is diversified, and the process of exploration is full of risks.


    The healthy growth of brand enterprises and leading enterprises is very important for the textile and garment industry.

    We see in red beans, YISHION and other brand enterprises, a good independent brand can often drive the development of hundreds of supporting small and medium-sized enterprises.

    It can be seen that the growth and development of brand enterprises can provide small and medium enterprises with living space, and the positioning of small and medium enterprises can provide a basis for upgrading and pformation of large enterprises.


    In recent years, the voice of all walks of life to build brands is getting higher and higher. But for the textile and garment industry, enterprises are facing a series of basic problems related to survival, such as cotton bottlenecks, printing and dyeing bottlenecks, financing bottlenecks, which is worth pondering.


    The emergence of brand is not the individual behavior of enterprises. Compared with Italy, France, and even Korea and Japan, its regional brand has the power of appeal in the world. This is closely related to the guidance and support of the government. In this regard, our country urgently needs to build a complete set of guidance strategies and support systems.


    In addition to the platform of the two sessions, will China Textile Federation set up some institutional mechanisms in its daily work to create conditions for the healthy development of the industry?


    Wang Tiankai: after more than 10 years of exploration, China Federation of textile industry has formed a set of effective working methods, and has formed a relatively strong cohesive force and centripetal force in the textile and garment industry of the whole country.

    On the basis of inheritance and development, the Federation of China textile industry should play a better role in the joint fleet, and focus on improving the system, culture, resources, carding and integration, and building up the team.


    At present, the new round of institutional and cultural development of the Federation has begun.

    Recently, the Federation is integrating various professional associations and related industrial clusters to establish a statistical analysis institution to analyze closely the industry and provide support for the foundation work.

    In addition, it will further form a linkage mechanism between the Federation and local professional associations and local governments, and explore a more effective communication channel and way to jointly create conditions for the development of industrial enterprises.

    In terms of cultural construction, we will also base on the characteristics of the Federation and extract the spiritual core that we should have, so that our team will be more united and more powerful.


    For the important work of brand building, scientific and technological progress, personnel training, etc., which will help our industry to be independent and evergreen, the Federation will also speed up and explore actively, helping the healthy and orderly development of industry and enterprises.

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