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    Haining Leather Industry Survey Shows Profit Drop 30%

    2014/1/6 21:32:00 50

    Leather IndustryHainingProfits

    < p > is concerned about the market dynamics of the leather industry. Zhejiang's a href= "http://www.91se91.com/news/index_c.asp" > Haining < /a > is both a famous tidal spot and a famous leather distributing center. There are more than 1500 leather enterprises in the region. Over the years, the production and sales of fur and other leather products produced in Haining have been in the forefront of the industry.

    However, reporters recently interviewed in Haining learned that in 2013, the leather traders in Haining did not have a good time. Many manufacturers were making money without making money.

    < /p >


    < p > half past ten a.m., the reporter came to the leather city of Haining. On the first floor, the reporters saw that there were not many customers who came to pick up bags. Some of the shop staff were only preparing for work and no customers patronized.

    The one hundred yuan special price, the new product listing 22% off of the sales signs can be seen in many shops.

    Reporters visited several stores and learned that business was worse this year than last year.

    < /p >


    P > Haining Leather City, a bag shop salesman: the business is lighter than last year, as compared with last year, in sales or profit margin sales.

    < /p >


    < p > then, the reporter came to the two floor. All the shops here were mainly men and women selling leather goods. The reporter saw that the popularity of this shop was much larger than that of downstairs, and many customers in the shop were choosing clothes.

    But in spite of this, there are businessmen who say that the current business is hard to make and earn nothing.

    < /p >


    < p > > Haining a href= "http://www.91se91.com/news/index_c.asp" > leather < /a > City merchants Ya Min told reporters: "much worse than before, how much to say, a lot worse."

    South Fujian is a northeastern man who has been doing leather business for many years. He told reporters that the business of the whole industry is generally depressed this year.

    < /p >


    < p > < strong > Haining: in the first ten months, nearly 30% loss of leather enterprises above Designated Size < /strong > < /p >


    < p > in addition, the reporter also learned that the product structure of Haining's < a href= "http://www.91se91.com/news/index_c.asp" > leather sales < /a > has changed as a whole.

    < /p >


    Zhu Weixiang, general manager of Zhejiang Snow Leopard Dress Co., Ltd., told reporters that before that, more than five thousand of the price of clothing could reach 30%, which could reach 15% this year.

    This year, the price of clothing is basically around two thousand and five hundred of the clothes, < /p > two thousand.


    < p > industry insiders say that the shops in leather stores are basically sold by manufacturers or directly from manufacturers. Therefore, the current downturn in the market can be said to be a microcosm of the entire leather industry.

    Reporters learned that this year's local leather industry is also in a bad position.

    According to the data provided by the Haining Leather Industry Association, in 2013 1-10, the total industrial output value of 101 Enterprises above Designated Size in Haining was 13 billion 100 million yuan, down 0.2% compared with the same period last year, and sales income was 12 billion 600 million yuan, up 1.3% over the same period last year, and the profit was 120 million, down 9.5% from the same period last year.

    There were 29 deficit enterprises in 101 Enterprises above Designated Size, with a loss rate of 29%.

    < /p >


    < p > < strong > leather industry survey < /strong > < /p >


    < p > < strong > orders drop costs rise Haining leather industry "winter" < /strong > /p >


    < p > Wu Luming is the executive vice president of Haining leather garment trade association and the head of a local leather garment enterprise. He told reporters over the years that influenced by factors such as rising production costs and appreciation of RMB, Haining's local cost advantage has been lost. Some of its former foreign customers are pferring to low-cost countries such as India.

    < /p >


    < p > Wu Luming, executive vice president of Haining leather clothing trade association, told reporters: "for every piece of clothing, we in Haining, China, produce a garment between two hundred and three hundred yuan (RMB). Then, in India and Pakistan, they produce a fur coat of about eight dollars.

    < /p >


    < p > except for the reduction of orders, the increase of raw material prices is also eroding the profits of enterprises.

    Insiders said that in recent years, the price of raw materials has been rising, the cost of labor and rents has increased, and the professional market prices of leather garments have not changed much. Most of them are still up to two thousand yuan. The increase in the cost price has increased the pressure of enterprises.

    < /p >


    Zhu Weixiang, general manager of Zhejiang Snow Leopard Dress Co., Ltd., told reporters: "since 2010, raw materials have gone up very well, with an annual increase of nearly 20%."

    Gong Huihong, Executive Deputy Secretary General of Haining Leather Industry Association, told reporters: "we take Mongolian lamb as an example, from the original 75 yuan to 115 yuan last year, so the price of raw materials is relatively large, but the growth of our leather clothing is still not big."

    < /p >


    < p > industry insiders say that last year, the main impact was mainly on small and medium-sized enterprises and some small brand enterprises, while some of the local big enterprises had a brand advantage to deal with in time, and the impact was not great.

    < /p >

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