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    Textile Manufacturers Expect To Break Ice This Year.

    2009/1/8 0:00:00 10244

    Spinning Suit

    The good news is continuous: before dawn, we have raised the export tax rebate rate several times to alleviate the pressure of foreign trade clothing enterprises. Experts said that although the export tax rebate rate increase can not fundamentally change the order of textile and apparel enterprises gradually reduce the status quo, but to alleviate the negative impact of the economic crisis to play a certain role in promoting. At present, the growth of export volume of textile and clothing depends mainly on the demand of overseas markets. Under the background of global financial crisis, overseas demand will decline. Although the main business revenue is sluggish, the increase of the export tax rebate rate is also difficult to raise the scale of the net profit of the related enterprises. The reporter learned from a textile and garment enterprise in Zhaoyuan that before our tax rebate rate had not been raised, foreign customers asked our manufacturers to lower the price. In order to retain orders, many enterprises were forced to agree to their clients' request to transfer a large portion of the profits from tax rebates to customers, which may not have been anticipated by the departments concerned. Not only the export tax rebate rate has limited effect on the export of garments, but the fall of the RMB exchange rate against the US dollar in the second half of this year can only make the garment foreign trade enterprises take a breath. Since November, the yuan has fallen from its previous high level. Some experts expect to drop back to about 7 in 2009, that is to say, from the current 1:6.84 to 1:7. The pressure is not small: orders are shrinking and exports are slowing down. According to the latest statistics of the foreign trade and Economic Cooperation Bureau, the total export volume of clothing in our city reached 1 billion 360 million yuan last year from 1 to November, while the export volume of 1 to November was 1 billion 580 million yuan in 2007, and the situation of garment trade is becoming more and more serious. From the perspective of individual enterprises, the situation is indeed not optimistic. "In the US market, compared with last year, our export volume decreased by 80%, mainly due to the financial crisis driven economic crisis, which caused the decline in purchasing power in Europe and the United States, and the prices demanded by importers were gradually low. Judging from the current situation, the European market began to shrink, but not as strong as the United States, but it can be felt that when the market crisis began in October last year, due to the advanced nature of the clothing market, orders for the whole year have been completed. "If the European market continues to slump this year, it will be a very heavy blow for us. In the last few months of last year, the clothing export industry was generally busy in the first half of this year. From the feedback of customers, their purchasing volume is also shrinking, and the price of single products is also decreasing, and the profit space is compressed. The European market is expected to decline by at least 20% in 2009 or even worse. Coupled with the continued deterioration of the US market, the market in Europe and the United States will be very bad next year. Liu Xiaohui, head of the European and American Trade Department of Yantai Qili group, told reporters about the latest statistics. According to estimates, only a beautiful family, Europe and the United States affected in 2008 around 5 million U. S. dollars. The order was moved out: "Made in China" changed to "Made in Vietnam". Many people began to notice that the labels on some brand-name clothes recently purchased in the shopping mall were no longer "Made in China" but "Made in Vietnam (Vietnam)". "Now we are faced with the fact that not only the total volume of orders in the world is decreasing, but the existing orders in our hands are beginning to shift outwards." Zhao Wei, a well-known manager of the clothing trade market, said. Zhao Wei said that many foreign clothing brands originally produced in China have been transferred to Southeast Asia for production, such as Vietnam, Philippines, Kampuchea and so on. In addition, Pakistan and India have also won many orders. Zhao Wei has been engaged in clothing business for many years. He said, in fact, they competed with the foreign trade clothing manufacturers ten years ago, when their labor force prices were much lower than ours, but there were still many gaps between the labor proficiency of the workers and the production technology of clothing fabrics. Over the past few years, a large number of textile machinery and technology have been exported to these countries. With the accumulation of time, technology and capital, their textile production level is almost equal to ours. At present, the wages of their skilled workers are around six hundred or seven hundred yuan, and the wages of skilled textile workers in those countries such as Bangladesh and Kampuchea are generally two hundred or three hundred yuan, while the average wage of textile and garment workers in Yantai, including counties and cities, is around 1400 yuan, which does not include three gold insurance. At present, the major customers in Europe and the United States are basically global sourcing. Even the same brand of clothing of the same type, the origin includes different countries, and the order volume is obviously transferred to low cost countries and regions. Therefore, enterprises in Yantai and Southeast Asian countries are increasingly at a disadvantage in cost and price competition. Actively respond to: developing new markets and expanding business It is learnt that in the face of deteriorating global procurement situation, most garment enterprises in our city take various measures to deal with it. Without exception, they should try to consolidate their old customers and strive to introduce some high value-added products, so as to ensure part of the profits. Secondly, mining new customers, like the depression in the US market, then developing the European market, the Americas market and so on are affected by the crisis. Relatively light areas. Another way is to create our own brand and open up foreign markets. "We have been working on this, and some people have taken over the business." In today's situation, only by expanding the volume of business can we offset the decrease in profit space by absolute quantity. At the same time, the rise of export tax rebate rate and the decline of the RMB exchange rate against the US dollar have made the clothing export enterprises see the hope. Editor in charge: Yang Jing
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