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    Fujian Quanzhou Plays The Role Of High-End Products To Find Business Opportunities In Southeast Asia

    2012/9/26 18:39:00 11

    VietnamGarment BrandTextile Industry

     

    The core tip: just returned from the fabric Market Research in the Yangtze River Delta area, and immediately arranged for the next month's Shanghai textile fabric exhibition, and then continued to participate in the Vietnam textile surface accessories exhibition in November.

    This is the month of busy work plan of markke, director of marketing of Fujian Longfeng Textile Technology Industrial Co., Ltd.


      

    Vietnam?

    The exhibition is a new attempt by Longfeng textile this year. The two market trend has made the company firm in its determination to explore Southeast Asian market.

    A few days ago, the China filament weaving Association disclosed an analysis report on the economic operation of the industry: first half of the year, industrial inventories climbed all the way, and the amount of losses increased.

    This is basically consistent with the situation seen in the market.

    Another market news is that Adidas intends to pfer Chinese orders to Southeast Asia and other places.


    "The domestic market is low in price and low in demand, and many international and domestic.

    Garment brand

    The order is gradually pferred to Vietnam.

    We will look at the Southeast Asian market and do not exclude the establishment of an office in the region to make it a new market for key development. "

    Reporters learned that in addition to Longfeng textile, there are many local textile enterprises will focus on the Southeast Asian market.


    High inventory prices


    "In the second half of this year,

    Textile industry

    There must be a shuffle.

    From the market in Shengze and other places we have seen, the situation is particularly grim.

    In introducing the market of textile fabrics in Jiangsu and Zhejiang provinces to reporters, meke soldiers used two words - "shuffle" and "particularly severe" to describe the present situation of chemical fiber weaving industry and terminal sales market.

    For practitioners, these two words are quite sensitive, and summing up, more direct expression is "priceless and no market".


    According to Mei Kebing, in the domestic silk fabric industry gathering area -- Shengze market area, many pure trade wholesale class cloth shops have been gradually closed, and some small production plants mainly based on grey cloth processing products have also been almost shut down.

    During the inspection, it found that the orders of foreign main export markets declined, and the inventory of domestic downstream garment enterprises was serious. The number of orders decreased significantly, and the domestic demand for foreign demand was also depressed.


    While visiting the Shishi fabric market, reporters also found that most of the shops in the past years were open for business around 9 a.m. this year, many of them have been postponed until 10 a.m. or even noon at noon, and business hours are getting shorter and shorter.

    A number of local cloth executives confirmed the reporter's conjecture: since this year, Shishi also has some small wholesale businesses that are poorly managed.


    "The demand and price of the market will not go up. What the enterprise is facing now is the dilemma of start-up and inventory.

    As far as Quanzhou is concerned, sales of most silk weaving enterprises generally exceed two months due to poor sales, and most enterprises can only maintain about 80% of the start-up rate.

    Jinjiang local silk weaving enterprise production leader disclosed.


    High inventory and low price are the difficulties faced by local textile enterprises.

    China's filament weaving association has made a corroboration of a group of research data on the main cluster of filament weaving industry: the output and output value of Shengze area has increased negatively, but its production and sales rate has exceeded 100%, but the profit growth rate has dropped by 16.04% over the same period. We can see that the inventory products have been processed at a low price. While the output and output indexes of Changxin have maintained growth, the production and marketing rate is only 81.59%, indicating that some enterprises still maintain production and continue this trend without sales volume. The pressure of enterprise inventory can be imagined; the production and marketing linkage in the region is barely normal, but the profit growth rate dropped by 27.52% over the same period.


    Play the advantage of high-end products


    In 7 and August, the filament weaving industry is in the middle of the year, and the industry downturn is even more obvious.

    But there are still some enterprises to make early response, through the efforts of high-end products to maintain profitability.

    According to sources from China's filament weaving industry association, the performance of Fujian textile enterprises is more prominent.


    "In the face of the current market environment, enterprises need to protect the normal circulation of funds, and actively develop new products that are practical for market needs.

    We understand that especially in the production of medium and high grade nylon simulated silk products, nylon cold resistant fabrics, sportswear fabrics and some interwoven products, the business is in good condition.

    In addition, in order to alleviate the pressure of employment, some enterprises began to introduce new automation equipment to reduce labor costs and improve efficiency, which alleviated to a certain extent.

    Not long ago, the research group of China filament weaving industry association visited the Fujian filament weaving enterprise, and made the above evaluation to local enterprises such as Xiang Xing and South weaving.


    It is reported that Fujian textile enterprises represented by Quanzhou industrial clusters have been quite generous in terms of equipment investment.

    Almost all the local filament weaving enterprises use imported water jet looms, and the investment is 3~5 times that of similar looms in China.

    In the long term specialized production of fine denier high density nylon fabric enterprises, such as Xiang Xing group, Longfeng textile and so on, pulp and thread machine and automatic wear machine are also introduced.

    "Taking the automatic wearing machine as an example, the workload of this set of equipment is equivalent to 8 times that of manual wear, which greatly improves production efficiency and reduces employment.

    At the same time, the most advanced electronic digital recognition technology is used to distinguish different kinds of meridional fibers, which can minimize errors in the process of penetration and improve the efficiency of weaving.

    The two enterprises responsible for production technology said.


    In addition, because of the industrial cluster in outdoor leisure wear, business suit and sportswear, Quanzhou textile enterprise's product positioning is also more concentrated, mainly based on nylon sports, leisure and winter wear fabrics.

    Because of the close relationship with the downstream market, local textile enterprises pay more attention to the real demand of the market and the wearability of the fabrics in product development, and they can also perceive the market changes more sensitively and make corresponding adjustments to the products in time.


    "We will study the market trend ahead of time, and adjust the R & D product mix accordingly.

    At present, the company has many varieties, small batch, but high added value and flexible production.

    By regulating production in accordance with market performance, we can avoid some market risks and reduce operating pressure.

    Jinjiang Southern Weaving Co., Ltd. said.


    Looking for business opportunities in Southeast Asia


    Including internal multiple adjustments, finding more foreign demand orders is the ultimate goal of textile enterprises.

    To this end, in the domestic market with high production costs and low demand, many enterprises have turned their attention to foreign countries.

    What is different from the past is that the local textile enterprises are not targeting the main export markets of textiles and clothing such as the United States and the European Union, but the largest competitors in Vietnam, such as Vietnam and other Southeast Asian countries.


    "With the gradual development of textile and garment industry in Vietnam and Bangladesh in recent years, coupled with the advantages of low labor costs, many international sports brand orders have gradually shifted from domestic to local.

    At the same time, there are domestic sports brand plans to set up factories locally.

    In the future, Southeast Asia will become a manufacturing base. We, as an upstream supplier, must be aware of this. "

    Mei Kebing believes that the move of target customers to Southeast Asia has become a trend, which will lead to the shift of sales focus of textile enterprises.


    According to mak analysis, the textile industry chain of Southeast Asian countries is still in the initial stage, the production capacity basically stays in the low-end products, and after the pfer of brand clothing orders, it will face the shortage of high-end fabrics.

    "This is an opportunity for us.

    The advantage of domestic enterprises in high-end products is an important bargaining chip for this part of the customers.

    In addition to the Vietnam exhibition this time, we will also examine the surrounding area and the textile and garment specialized trading market, and understand the local textile fabric trade.

    In the future, or consider going to the local sales office. "


    In recent years, the successful development of Tianhong textile, a famous textile enterprise in China, has undoubtedly injected a strong heart for the local textile enterprises.

    Reporters learned that many local cloth shops in Quanzhou coincide with the development plan of Longfeng textile.

    Although no specific plan has yet been made, many textile enterprises have been eager to do so. Business owners or individuals have been visiting Southeast Asian countries for many times, or planning for the layout of Southeast Asia through their friends in the local market.


    Although optimistic about the potential of Southeast Asian market, some people in the industry suggested that investment in Southeast Asian countries should not be haste.


    "After all, the political environment is different from the economic environment.

    Some enterprises go to low labor costs, do not know much about local policies and staff needs, but are often tired of frequent strikes and eventually have to stop production.

    If you really want to invest, you may wish to cooperate with local businessmen, and the feasibility of this cooperation mode will be even higher.

    Mr. Liu suggested.

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