Export Of Footwear Has Broken The Trend Of Sustained Growth.

Shoe companies in our city are being squeezed by both inside and outside. Footwear products Exports have bid farewell to the sustained growth trend in recent years.

Global trade protection measures emerge in endlessly.

Unfavorable situation forced transformation and upgrading of shoe enterprises

"With the subprime crisis and the escalation of the European debt crisis, there are no international trade barriers against domestic footwear in China. At present, the cost of raw materials and labor costs continue to operate at a high level, and the exchange rate of US dollar and euro continues to decline, and the profits of enterprises are continuously compressed. At the same time, protectionism in the international market is on the rise again, the European and American markets are constantly improving technical barriers, and some emerging market countries also frequently trade protectionist measures, and the threshold of footwear exports is further uplifted. Pan Kecheng, Secretary General of the shoe and leather business association, said.

Footwear exports farewell to sustained growth

"The EU is the largest market for shoe exports in the market. The market demand will be significantly reduced, which will adversely affect the export of shoes in our city. In addition, the European Union, Egypt and so on have introduced relevant trade protection measures, which makes our footwear exporters feel pressure. Taizhou Bao Li shoe Footwear Co., Ltd., a person in charge said.

According to the statistics of the Customs Department of our city, 1~4 shoes exported 82 million 790 thousand pairs of shoes in our city this year, 8.1% less than that of the same period last year. The largest decline in exports was the EU market, and exports to the EU in the first 4 months were 32 million 780 thousand US dollars, down 29.3%.

The footwear enterprises in the market have been squeezed by both inside and outside, and the export of footwear products has bid farewell to the sustained growth trend in recent years.

Increasing production costs and squeezing shoe companies profits

It is understood that our footwear exports to North America, Europe, the Middle East, Africa and other markets, and at present, Europe and the United States economic turmoil, four African countries smoke, the global consumer purchasing power declined, the city's footwear exports directly impact.

A shoe exporters in the Hengfeng street of Wenling, which originally sold 2000 cases of shoes (24 pairs per box) per day in the Eastern European market, and the daily sales volume dropped by 83%. The company is located in the exclusive store. Its monthly turnover also dropped from $150 thousand to $20 thousand, a drop of 86.7%.

A recent survey by the shoe and leather chamber of Wuhan city shows that domestic inflation pressure has greatly increased the production cost of shoe manufacturers this year.

In recent years, the wages of the workers in the shoe industry have increased by more than 15% per year, plus the cost of improving the labor environment, the production cost has increased by 20%.

On the other hand, it is more and more difficult for enterprises to borrow from banks, and then turn to private lending with high risk and high interest. In addition, with the profits squeezed by the appreciation of the renminbi, corporate profits are getting thinner and thinner.

Situation forced transformation and upgrading of shoe enterprises

The reporter understands, at present, there are more than 6000 shoe enterprises in the market, of which 92% are small businesses. The market structure is single, capital turnover is difficult, and the ability to resist risks is poor, resulting in a large number of enterprises shutting down and shutting down production, and the industry shuffling speed is accelerating.

"The appreciation of RMB is faster and faster, and the price level is rising. Enterprises are experiencing unprecedented pressure. One side is the loss of enterprise orders, the other is the rising cost, which has seriously led to a sharp decline in the profit margins of enterprises. The speed of our business has caught us by surprise. Shi Baofu said, "our company exported $4 million in the first 4 months of this year, an increase of 35.5% over the same period last year, but the export trend in the second half of the year is still very bad."

According to the insiders, under the current economic situation, every shoe enterprise should tap new market from its own development status. Large brand enterprises need to know more about the market, further consolidate the brand of enterprises, set up distinct brand flags, and small brands need to continue to promote brands and achieve strategic layout with dots.

The reporter has learned that many visionary foreign trade shoe and clothing enterprises have been preparing for the rainy day in hardware and software, making use of the opportunity of RMB appreciation to carry out equipment upgrading and upgrading, so as to reduce costs, improve production capacity and product quality, and expand the market.