The Textile And Garment Industry Shifts To A New Trend. Production Investment Must Be Adapted To Local Conditions.

< p > the new division of labor in the global market is bound to promote the pfer of industries, especially in cost-effective a target= "_blank" href= "http://www.91se91.com/" > textile < /a > a target= "_blank" href= "_blank" > clothing industry.

Having experienced two important stages, which are driven by favorable policies and quota restrictions, the rise of cost elements has become the fundamental reason for China's textile and garment enterprises to "run away".

At this opportunity, India, Sri Lanka, Burma, Indonesia and other countries have thrown out the olive branch of attracting foreign investment, hoping to grasp the best opportunity for the development of the industry with the help of external forces.

On the other hand, Chinese enterprises also want to weigh the production advantages of different countries through field visits.

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In order to promote the pformation and upgrading of China's textile and garment industry and promote the implementation of the "going out" development strategy, in early April, the China Textile Import and Export Chamber organized China's textile enterprises to go to India, Sri Lanka and other places to conduct in-depth research on the development, trade and investment environment of the textile and garment industry.

Zhang Xian, Secretary General of the China Textiles Import and Export Chamber of Commerce, who has taken the lead in the tour, has begun to think about such problems as the Secretary General of the China Textiles Import and Export Chamber of Commerce, who has won the research results of the local investment environment. The trend of outward investment triggered by market behavior is irreversible, but what are the underlying reasons for the outward pfer of the domestic textile and garment enterprises? What kind of impact will the fast industrial pfer bring to the overall development of the industry? < /p >

"P > < strong >" industrial pfer dark tidal flow < /strong > /p >

< p > in the last two years, the Chinese textile import and Export Chamber of Commerce (hereinafter referred to as the "textile chamber of Commerce") has visited Southeast Asian countries to increase their frequency.

From last June's trip to Burma and Indonesia, to the beginning of this year, the silk industry in Thailand, Bangladesh and Malaysia was inspecting, and an exchange visit with India and Sri Lanka traders a month ago.

The pfer of textile and garment industry to Southeast Asia is attracting more and more attention, and more and more enterprises hope to find opportunities here.

"Whether it is from our team visits or from corporate enquiries, we can all feel that the industry is interested in investment and production in Southeast Asian countries.

Against this background, we led 5 enterprises to inspect the investment environment of Brandi's clothing city (BIAC) in India.

During this period, trade unions and exchanges between India and Sri Lanka industry associations and enterprises were also conducted.

Zhang Xian said.

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In the era of P and 80~90 in the last century, the purpose of enterprises considering foreign investment in order to avoid export quotas is different.

The rising labor costs and the spread of domestic and foreign cotton prices have weakened the market competitiveness of Chinese enterprises.

Zhang Xian explained: "in domestic production, the cotton price per ton is five thousand or six thousand yuan higher than that of foreign countries, and the pressure on unit products to rely on additional income is increasing.

Some enterprises can only produce in Southeast Asian countries. On the one hand, they do not have quotas for cotton imports, and on the other hand, they can also take advantage of local raw materials. "

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< p > the BIAC of the textile chamber of commerce is located in Ande Labon in the eastern part of India. It is the third largest cotton producing area in India.

Adequate supply of cotton made the garment city form a vertical integration system of "fiber to store".

According to the basic salary, the monthly salary of the workers in the park is only 700 yuan.

Even in Sri Lanka, where the cost of labor is relatively high, the monthly salary of garment workers is only about 800 yuan.

The advantages of raw material and labor cost make the textile and garment industry of these countries more and more favored by foreign investors.

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< p > Zhang Xian said that from the point of view of production efficiency, Southeast Asian countries are lower than ours, but the cost competitiveness of the domestic middle and low-end enterprises is certainly not as good as that of Southeast Asian countries.

Therefore, we can understand the outward pfer of low and medium enterprises.

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< p > < strong > production investment must be adjusted to local conditions < /strong > < /p >

"P > cotton and labor force force enterprises to consider" leaving ", and which country is testing the strategic vision and management wisdom of the enterprise.

Zhang Xian pointed out that there are two forms of foreign investment in the industry: investment in garment factories or cotton mills.

The clothing industry is a labor-intensive industry, which is suitable for investment in Burma and Bangladesh.

The investment for textile mills is generally capital type. From the point of view of production, it is necessary to consider the convenience of local raw material procurement.

"India's outstanding industrial advantage now is that cotton can be self-sufficient.

In contrast, most of the raw materials in Sri Lanka need to be imported.

And the industrial chains like Vietnam and Indonesia are extending, and their industrial advantages will also be gradually reflected.

Zhang Xian said.

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< p > the investors of India Brandi Ke clothing city welcome Chinese entrepreneurs to carry out investigation and cooperation.

Local businessmen are confident that India will seize some of the market share of China's textiles and clothing in the next 10 years.

Compared with other countries, its trust stems from the local labor supply.

It is understood that BIAC clothing city is invested and managed by Brandi, the largest clothing company in Sri Lanka.

During the inspection, Zhang Xian wondered why this garment company in Sri Lanka was very competitive in investing in India. During the conversation with the representative of Sri Lanka, he learned the long-term plan for the enterprise: "according to the official, Sri Lanka is also beginning to have labor shortage.

In terms of potential labour supply, India is more secure.

The BIAC clothing city we visited has more than ten enterprises, and the number of employees is 16 thousand.

The park representative said that if more businesses could be attracted to invest, the expansion of the number of employees would not be a problem.

Moreover, the area is 18 years old. There are many women around ~30 years old. They are proud of their work in this clothing city.

In the park, the whole state of the workers is very comfortable.

On the contrary, even if our factories in China can earn four thousand or five thousand yuan per month, young people will not be willing to engage in textile industry, and their loyalty to enterprises is generally lower than that of Southeast Asian countries.

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< p > Zhang Xian suggested that enterprises should choose the form of investment according to their own development plans. "Clothing factories are relatively low in investment costs, mostly in the form of leasing, and the operation of funds is relatively flexible.

Textile mills, because of the need to invest more in equipment, generally focus on long-term planning, and have higher requirements for the capital operation capability of enterprises.

But no matter what kind of investment, there are certain risks, such as production management regulations, foreign exchange regulations and trade union laws, etc., all of which require serious study by enterprises.

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< p > strong > extrovert pfer is thought-provoking < /strong > /p >

< p > in the past investment cases, such as Yida and red beans are accepted by local society. After all, the enterprises that truly maximize profits through overseas layout are in the minority.

In the current situation, most of the enterprises who invest abroad want to use local advantages to stabilize orders.

In the tide of industrial pfer, the phenomenon of enterprises choosing to invest outwards rather than to the central and western parts of the country is also a real reflection.

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< p > "in fact, from the perspective of the industry's emotion and production status, enterprises do not necessarily want to go out" because there are many differences in culture and customs.

It should be said that the best way is to shift from the east to the central and western regions, and to maintain our industrial strength and competitive advantage for some time.

Zhang Xian believes that there are many inevitable factors in industrial pfer, but it leads enterprises to choose to "go outward" instead of investing in the central and western regions. There are many other reasons for it.

Workers on the western front line earn only 2000~3000 yuan per month, much higher than those in Southeast Asia.

In addition, supporting conditions can not keep pace with industrial development, but also affect the pfer of industries to the middle and western regions.

It is possible to have a good docking effect in the early stage, but the field visits are far from the description.

And the stability of local preferential policies and the loyalty of employees are also the concerns of eastern enterprises.

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< p > Zhang Xian said that the trend of enterprises' outward pfer needs the attention of the industry. In this process, how to make the domestic industry develop healthfully needs the joint efforts of the industry.

As a platform for providing business services, the textile chamber of Commerce will continue to provide pre operation consultation for enterprises and conduct field visits.

Through the exchange activities in the industry, we share the first-hand information of "going out".

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