Warm Winter In Zhongshan Garment Industry

In the first 8 months, Guangdong's clothing exports decreased by 30.1% compared with the same period last year, but the city grew by 8.2%. In the first 8 months of this year, Guangdong's clothing industry suffered "cold winter".

Yesterday, the experts at the Clothing Fair for industry development strategies, reporters learned yesterday from the current Clothing Fair: Guangdong clothing industry is facing "cold winter"!

In 2008, influenced by a series of unfavorable factors, such as RMB appreciation, export rebate rate reduction, raw material and labor costs rising sharply, shortage of power land resources and subprime mortgage crisis in the United States, Guangdong's clothing production slowed down, exports were blocked, profits declined, domestic sales did not flourish, and the development of the industrial economy was unusually severe.

But against this background, Zhongshan's clothing industry is in the red. In the first 8 months of this year, clothing exports increased by 8.2% over the same period last year.

Nevertheless, Zhongshan's clothing enterprises are still facing serious problems as other garment enterprises in the province.

How to get out of the cold winter?

Experts said that increasing the product design content, increasing the brand contribution rate and the contribution rate of science and technology is the key.

Guangdong garment industry encountered "cold winter". Guangdong clothing and Apparel Industry Association disclosed yesterday: the total garment production in the province showed negative growth for the first time this year, a decrease of 0.03% compared with the same period last year. It is the only area where the output of the main garment production provinces has negative growth. The export of clothing and accessories in the whole province decreased by 30.1% compared with the same period last year, and the export volume is expected to decrease by more than US $10 billion this year.

"My mood is complex."

Liu Yueping, President of the provincial clothing and apparel industry association, said he predicted that the status of Guangdong's first largest province of clothing would be at stake, and that it would probably be surpassed by Zhejiang at the end of the year.

The surpassing of quality is even more terrible.

Liu Yueping analysis said that compared with Zhejiang, Jiangsu, Shandong and other clothing provinces, the effectiveness of our province's garment industry has declined, and the deficit of Enterprises above designated size has reached 26.4%, which is 5 percentage points higher than that of the whole country, and the total profit has dropped by 5.2% over the same period.

At the same time, facing the unfavorable situation at home and abroad, the number of Enterprises above Designated Size in Zhejiang is nearly 2 times that of Guangdong, and the total profit is nearly 5 times that of Guangdong. The losses of deficit companies are almost equal to that of Guangdong.

These indicate to some extent that the value added of Guangdong clothing enterprises is low, the profit margins of enterprises are small, the profitability is reduced, the market channel is single, and the export environment is prominent.

There are indications that Guangdong's clothing industry has suffered a "cold winter".

Zhongshan garment industry has gone against the market. There are more than 4200 garment enterprises in Zhongshan. Like the national textile and garment industry, this year encountered unprecedented development difficulties.

As the city actively adjusts the development of textile and garment industry and vigorously promotes the independent innovation and upgrading of the garment industry, the textile and garment industry in the first half of this year is still growing at a rate of 12.18%, while the total production volume in 7 and August has dropped, but it still has a substantial increase compared with the same period last year.

Take the garment production town Shaxi as an example, the industrial output value (mostly from the clothing industry) increased by 13% over the first 9 months of this year.

In contrast to the relative advantages of production, Zhongshan's clothing exports are also going against the market.

According to the latest statistics from customs, exports of clothing and accessories in Zhongshan increased by 8.2% over the first 8 months of this year.

It is not easy to achieve such a result under the "big climate" of the province's year-on-year fall of 30.1%.

After years of development, China's leisure clothing industry has formed many distinctive industrial bases such as Shaxi, Quanzhou and Wenzhou, forming the "Shanghai style" clothing represented by Shanghai and Jiangsu and Zhejiang, the "Fujian style" clothing represented by Fujian and the "Guangdong style" clothing represented by Guangdong, Zhongshan and Shaxi.

At present, there are 1400 garment enterprises in Shaxi, 87 thousand and 600 employees, about 9000000000 yuan in annual production and sales, and nearly 300 million US dollars in foreign exchange earning each year.

Feng Yurong, vice mayor of Zhongshan, combined with the new trend of the national garment industry, said that the scale of the textile and garment industry in Zhongshan has been growing, and the radiation effect of the market has become increasingly remarkable. It has produced more influential industrial clusters such as "casual wear", "big rush Cowboy" and "Siu Lam underwear", forming a larger garment economic circle and regional core competitiveness.

The "flooding effect" promotes the garment industry in Zhongshan and other clothing areas in Guangdong. The export mode is mainly processed trade, and the export market is too concentrated in the United States and other regions. The added value of products is low, brand building and capital operation are lagging behind, and the average profit rate of garment enterprises is low.

Zhongshan's clothing industry is also facing such a problem -- how to get out of "cold winter"?

Just as the financial turmoil has made Hongkong's top big companies, those enterprises that are truly core competitiveness can finally take a firm foothold and grow rapidly in the new round of shuffling.

The "flooding effect" produced by industrial adjustment will make small and medium-sized enterprises with low value-added products withdraw from the market and reverse the vicious circle of homogeneous low price competition. At the same time, the dominant resources of the industry will be integrated into the dominant enterprises.

"Make the product better, make the brand louder and sell the clothes a little more expensive."

Jiang Hengjie, executive vice president of China Garment Association, thinks that any industry must have a period of adjustment after its rapid development, and the garment industry is no exception.

The big breakthroughs in the garment industry relied on "brave men", but now they rely more on "wise men".

Increasing the content of product design, increasing the contribution rate of brand and the contribution rate of science and technology, taking quality as the foundation and innovation as the soul, expanding business channels and strengthening capital operation will be the direction of garment industry development in Zhongshan and other places.

Design and sales are the two most important added value in the apparel industry chain. This is also the future force of many enterprises in Zhongshan.

Paci Doug, San Po, Xia Hu Shijia, AI Gu and a number of independent brands have grown up and strengthened. Tongwei and Hu brothers have actively planned to pform from OEM to licensing. They are the mainstream public opinion of the development of Zhongshan's clothing industry.

Jiang Hengjie also illustrated with an example of a chopsticks and chopsticks that the clothing industry must "fight together".

Guangdong provincial economic and Trade Commission responsible person also believes that the overall competitiveness of the regional clothing brand can be built, and the Guangdong business culture, rather than the "Phoenix Tail", can be discarded, allowing the best enterprises in a certain category to take the lead, and other enterprises can cooperate in the form of shares and other forms, so as to form the industrial structure of "you have me and I have you", so as to be invincible.

Through the "golden ten years" of garment industry development in 1988~1997 and the second stage of rapid growth in 2000~2006 production, from the end of 2007, China's clothing industry has entered a new stage of industrial pformation and upgrading.

Sunshine always comes after the rain.

Jiang Hengjie, Liu Yueping and other national and provincial authorities in the clothing industry have bright prospects for the clothing industry.

"Hi-tech products are upgrading too fast, and cheaper and cheaper, but traditional products related to clothing, food, housing and housing are inseparable and are becoming more and more valuable."