Textile And Garment Exports Are Difficult And Profound Changes Are Imminent.

In the difficult circumstances of the development of the industry, "how to go in the future? How to transform?" has become countless. Textile and clothing An inevitable topic for export enterprises.

Last year, China's textile and clothing entered the WTO for the first time in the import market share of the three largest economies. Since this year, China's share in the international market continues to show a downward trend. The volume and amount of exports both hit their lowest level since 2007.

　　 Internal and external situation is grim.

Compared with the central and western regions and Southeast Asia, Hangzhou Regional clothing production costs are high, and middle and low-grade products have gradually withdrawn from Hangzhou. From 1 to June this year, the Hangzhou inspection and Quarantine Bureau accepted the 21064 batch of export garments for inspection and export, and the number of exports was 56 million 397 thousand and 600, down 22.35% from the same period last year, and the export amount was 503 million 870 thousand and 200 US dollars, down 12.51% from the same period last year. The decline continued to expand compared with the previous year, and the volume and amount of exports both hit the lowest level since 2007.

The continuous increase in labor costs and the sluggish external demand are the two main reasons for the decline in clothing exports in Hangzhou this year. With the development of garment industry in the central and western regions in recent years, some skilled workers in the field have returned to Hangzhou. Clothing enterprise Employment is generally scarce and wage costs continue to rise. Affected by this, the Hangzhou garment export price in the first half of this year amounted to US $8.93 / piece, an increase of 12.60% over the same period last year.

From 2008 to now, the labor cost of the clothing industry in Hangzhou has almost doubled, and the average monthly wage of ordinary workers has increased from 1300~1500 yuan to 2600~2900 yuan. If the conversion rate is USD, the increase of RMB appreciation will be nearly 1.5 times. This directly leads to the declining competitiveness of garment enterprises in the international market and the transfer of orders.

The advantages of artificial dividends are gradually disappearing. Since 2008, the labor cost of the textile and garment industry in Hangzhou has almost doubled. This is a huge development obstacle for the textile and garment industry, which is a labor-intensive industry. With the gradual maturity of the migrant workers group, it is better to find jobs and earn less at home, and do not want to travel far away from home and increase the difficulty of recruitment. Externally, the European economy continues to slump and affect the export of products, and more importantly, the rise of newly emerging textile industries such as India, Bangladesh and Vietnam. Its low cost advantage has led to the loss of a large number of orders. Yin Donghong, director of textile department of Hangzhou inspection and Quarantine Bureau, analyzed: the main reasons for the overall downturn of textile and garment export enterprises are divided into two parts: internal "In a word, internal and external troubles, our textile and garment exporting countries will soon face a profound change."

Yin Donghong said that the transfer of surplus labor force in rural areas has been balanced, which is a huge obstacle to the development of the labor intensive industry in the textile industry. "Today's labor costs have doubled about 2008 and 2009, and the rising cost of labor has squeezed the profits of enterprises to a large extent."

Demographic dividend gradually disappeared, exacerbating the trend of industrial relocation. According to the latest research published by the French Textile Association, the average wage of Chinese textile enterprises is about 188~300 euros, which is much higher than that of Bangladesh (about 80 euros), the lowest wage country in the world textile industry. In 2012, the textile trade between Europe and China will be very difficult.

Zhejiang electronic port stakeholders analysis, for the textile and garment industry, the disappearance of the demographic dividend is not only the loss of orders, but also exacerbates the possibility of textile and garment enterprises to move out. Recently, many domestic textile enterprises have gone to Southeast Asia to run factories. The European economy continues to languish, affecting export growth. According to the European Union statistics bureau, the euro zone unemployment rate rose to 10.7% in January, the highest since the establishment of the euro zone. Europe's economic recession has restrained its consumption demand for textile and clothing. At the just concluded China Fair, businessmen from Europe and America accounted for only 10%, 40% fewer and 60% more than the previous one.

"But it does not exclude customers who choose to buy from Bangladesh, Vietnam, Pakistan and India because of their benefits." Wu Hongjin, general manager of Tonglu County Cashmere Knitting Co. Ltd., located in the outskirts of Hangzhou, said this. According to the relevant people in the inspection and quarantine department, the rising cost of domestic labor and the high price of raw materials have made many textile giants like H&M fight the market in Bangladesh and other Southeast Asian countries.

"Bangladesh's monthly labor cost is only $100, while Hangzhou's labor cost is as high as nearly $500. From the perspective of raw materials, the price of cotton in Bangladesh is only 13000 yuan to 14000 yuan, while China's cotton price is as high as 20000 yuan.

It is noteworthy that various trade protectionism has increased the export threshold, and the emerging market's restrictions on China's textile and clothing exports are also increasing. In addition, India and Vietnam are expected to enhance export competitiveness through FTA.

　 Thick and thin, dare to make moves.

"The first line of big windbreaker made in our factory is sold in Hangzhou, with a price tag of over ten thousand yuan." Tang Wansen, general manager of Xinyuan Garments Co., Ltd., Zhejiang, said: "to make OEM for front-line brands, the added value will be higher, and enterprises will grow faster."

"To give a big OEM is not merely to take orders, but to set its own position clearly. Armani has many foundry manufacturers in the world, but we can't do the products we do at home. Silk products are our characteristics. Tang Wansen said, "the products of the company have certain technological difficulties, so the added value of products is high, and the total number of orders is less." The high-grade silk dress made by their enterprises has certain technological difficulties in both fabric and design details. Therefore, the added value of the products is higher and has certain irreplaceable properties. For many years, cooperation with the major brands is relatively stable.

In Tonglu Cashmere Knitting Co., Ltd., Wu Hongjin picked up a semi finished product of a cashmere sweater to demonstrate the process of "looper" for the reporters. "To see carefully, every needle should be aligned with the needle of the back piece, which means that it is entirely necessary to rely on hand weaving, and if it is not careful, it will be twisted." Taking the most basic collar Pullover as an example, a complete set of clothes of a skilled worker sleeve for more than 5 years needs more than 40 minutes, and a maximum of 15 sets per day. Therefore, the labor cost is very high, and the requirements for technology are self-evident.

Another example is water washing. This is mainly to prevent cashmere sweaters from shrinking, pilling and fading. The pesticides used for washing are imported from abroad, and 1 kilograms are nearly 700 yuan. The requirements for the washmen are also very high. The proportion of water to water can be very different, so that the washing effect of cashmere sweater is quite different, resulting in a return.

Learning from front-line brand is the inevitable path of transformation and upgrading. Tang Wansen said that the transformation and upgrading of OEM enterprises and the creation of their own brands are irresistible trends. It is relatively reasonable for OEM enterprises to turn to their own brands in 5 to 10 years. "After all, there is a big difference between the production, technology and equipment of OEM enterprises and independent brand enterprises. From OEM to independent brand, enterprises can no longer be restricted by other brands and have their own absolute market pricing power.

Tang Wansen said that although today's domestic labor costs and raw materials prices are rising, the possibility that the Southeast Asian market will replace the domestic market is still very low. "After all, after so many years of development, the domestic textile industry has the unmatched advantages of other countries in supporting industries."

"Last year, Vietnam and Bangladesh accounted for only 4% of the world's textile exports, while China had 31%. It can be seen that the characteristics of China's textile industry are outstanding, and there is no need to be too pessimistic about the future. For the next ten years, there is still room for development in this industry.

Tang Wansen believes that China's textile industry, besides its industrial characteristics, has strong raw material characteristics. 40% of textile raw materials and 30% of equipment in Vietnam, Bangladesh and India come from China.

In 2011, the sales volume of Xinyuan increased by 40% over 2010. This year, the company received orders less than in previous years, but the order value is high, so Tang Wansen still optimistic about this year's sales prospects, and has considerable confidence in the growth of more than 10%.

"Now the price of orders is falling, the exchange rate is changing, labor costs are rising, and the original 5000 pieces have turned into 3000 pieces. The original 3000 may have only 500 pieces left," Tang Wansen said. "There was a list before, through technical transformation, we introduced the management of single piece flow and increased the production efficiency by two times. The market is changing. We must follow the market. "

"The ultimate goal of learning from front-line brands is to create their own brands." Wu Hongjin revealed that not only them, but also the whole village has developed more than 10 independent brands, including Shali, Milan gulls and needle show, of which two have become famous brands in Hangzhou. Tang Wansen also said that OEM enterprises, whether in production, technology or equipment, and so on, have great differences from their own brand enterprises. Instead of being restricted by other brands and having their own absolute market pricing power, the conversion from OEM to their own brands has led to the sale of several original brands of "Xinyuan" garments in many large shopping malls.