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    1-4, Garment Industry Is Gratifying And New Profit Mode Urgently Needs To Be Developed.

    2016/5/29 21:43:00 50

    Clothing IndustryTotal ProfitProfit Model

    Reporters learned from the National Bureau of Statistics today that in 2016 1-4, the total profit of Industrial Enterprises above Designated Size reached 1 trillion and 844 billion 220 million yuan, an increase of 6.5% over the same period last year, the growth rate dropped 0.9 percentage points compared with that in 1-3 months, and finished product inventory reached 36591 billion yuan, down 1.2% from the same period last year.

    In April, the profit growth rate dropped by a large margin from 10.3% of the previous value to 4.6%, and realized a profit of 502 billion 70 million yuan.

    Specific to

    Garment industry

    The reporter noted that the National Bureau of statistics data show that in 2016 1-4 months, China's textile and garment industry above Designated Size realized main business income of 680 billion 760 million yuan, an increase of 6.1% over the same period last year.

    In 1-4, China's textile, clothing and apparel industry achieved a total profit of 37 billion 790 million yuan, an increase of 7.1% over the same period last year.

    Huang Ruiyang, a Guangzhou futures researcher, said that overall, although the data were far less than that of March, it was also less than 1-2 months. However, from the recent two years data, the profit growth rate in April is still the third highest since August 2014, and the efficiency of China's industrial enterprises is still improving.

    Huang Shuyan, an analyst with long march securities, told reporters that from the data, the fundamentals of textile and garment industry have been improved to some extent.

    Weak demand

    The overall growth momentum of the domestic garment industry has obviously slowed down. In the past, the traditional "made in China" mode that won by quantity was unsustainable. It is imperative to further speed up the pformation and upgrading of the industry.

    Huang Shuyan believes that the most profitable "Golden Triangle" is the latest product design, brand marketing and retail terminal from the terminal consumption, and garment enterprises need to effectively control their brand and marketing channels.

    Under the comprehensive promotion of "Internet +" and "industry 4", garment enterprises will strengthen their integration in R & D, production, processing, brand marketing, and at the same time have the ability to organize, capacity, and so on.

    Sales mode

    Enterprises that are optimized and innovating in other areas will undoubtedly take the lead in the new normal economic environment of China.

    Huang Shuyan analyzed to reporters that it is expected to take the main industry as the core, integrate the upstream and downstream resources of the industry, and gradually expand and control the whole industrial chain operation. At present, the domestic population is facing the turning point of demographic dividend, while the terminal demand is decreasing while the production cost is rising. Whether or not it has the ability to control the whole industry chain will become the key to control the cost and develop the new profit pattern of the textile and garment enterprises.

    Huang Ruiyang, a Guangzhou futures researcher, also believes that maintaining a good profit growth trend reflects the important position of the private economy in the national economy from another angle. Even if there is no large-scale credit support, it is still active, which means a sound monetary policy orientation. In the future, private industrial enterprises are likely to become a powerful engine to improve the economic efficiency of the industry.

    However, the problem of long-term low efficiency of state-owned enterprises is still urgent to solve. Once there is a lack of favorable policies, profits will drop rapidly.

    Therefore, the reform of state-owned enterprises and the policy support for private enterprises, especially small and medium-sized enterprises, are likely to become the focus of steady growth.

    Reporters noted that previous statistics from the National Bureau of statistics also showed that in 2015 the textile and garment industry revenue growth slowed down, but in the first quarter of 2016 there was a phased improvement, profitability continued to improve, the overall debt situation of the industry was significantly optimized, the finished product inventory grew at a minimum level in 4 years, fixed asset investment completed slightly rebounded, in addition, the scale of textile and clothing exports continued to be weak, and the export structure needs to be adjusted.


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