The Advantage Of "China's Price" Is Not In Existence, And Its Own Brand Creates Profits.

"The garments made in Turkey and Kampuchea are more competitive than China, and the cost is 20% cheaper than ours." Many exhibitors from Wenzhou, Zhejiang, complained to reporters yesterday that the "Chinese price" advantage gradually dropped.

Yesterday was Canton Fair During the three phase of the opening ceremony, the reporters found that the OEM enterprises generally reported that there was little profit. Merchants were old customers. Instead of being an independent brand enterprise, there was a cluster of heads in front of the booth.

　　 The advantage of "China's price" is fading away.

Wu Jincun is the head of Guangdong new human dress limited company. His company was stationed abroad before last year, but the external environment forced him to withdraw. "Over the past decade, I have been helping foreign businessmen. OEM Like this mode of processing, the buyer and seller know very well that a garment earns a few dollars. "

Speaking of the withdrawal of foreign subsidiaries, Wu Jincun said that the clothing threshold was low, and all countries were doing it. Before the financial crisis, the environment was good. With the advantage of China's price at that time, the first phase of the Canton Fair could get orders at least 30 million yuan, so it was convenient for negotiations to set up branch offices abroad.

Li Chaoxi from Guangzhou Bojun Clothing Co., Ltd. calculated the cost account for journalists. The cost of labor in Eastern European countries is about 4800 yuan. China is now 3000 yuan, but the cost of 700 yuan social security and 200 yuan meal supplement is also close to Eastern European countries.

"The price of Chinese products has increased in recent years, and the price of Kampuchea and other countries is lower, the difference between the two costs is 20%." Wu Yaxi, an exhibitor in Wenzhou, Zhejiang, went on to say, "this does not include tax concessions for Kampuchea and other countries."

　　 Brand profit is 3 times higher than that of OEM.

The responsible person of the China Textiles Import and export chamber also said yesterday that International textile and garment market Under the unstable demand situation, China's textile and garment export growth slowed down in 2011, and its share in the three markets of the European Union, the United States and Japan decreased by 1.4%, 1% and 2.2% respectively.

Under the circumstances of no viability of the OEM and the difficulty of breaking through the Chinese price, many enterprises are forced to embark on the road of brand innovation. The chamber of commerce also said that in recent years, a number of export products with high technology and independent brands have emerged in China's textile and garment enterprises, which are welcomed by the international market. Wu Jincun also told reporters that "although the factory export market is still dominated by OEM, the proportion has dropped to 70%, 30% has been making brand gradually, and the domestic market is mainly making brands."

Guangdong gal Mao Fashion Co., Ltd. started its brand last year, and its sales and marketing manager, Chen Daiping, said that although the company has been established for more than 20 years, it has been doing OEM, and with its own design elements, new customers are increasing.

Wu Jincun said, "to do OEM, the factory is very easy to stereotype, a year to do one or two billion has reached the ceiling, but the brand, there is no sales ceiling, and profit is 3 times to 5 times the OEM." Li Chaoxi said, compared to the OEM only 5% gross profit, and the smaller the order, the independent brand as long as the fame has come, it has its own place, the price will have the advantage.