Cold Air Frequently Doubles Raw Material Prices, And Processing Enterprises Profit Pressure.

As the weather gets colder and colder, the down jacket becomes the necessary clothing for winter.

In recent years, the down garment market in China is also showing an upward trend.

Data show that in 2018, the market size of Chinese down clothing has reached 106 billion 800 million, an increase of nearly 11% over the same period last year.

Our reporter also found in the survey that because of the increasing cold air this year, the down jacket has become the "hot search word" for online consumption.

In the past New Year's Day holiday, in the cold wind of five degrees below zero, there was a long queue in front of a shop in Sanlitun, Beijing. In fact, these customers came from a down jacket.

In Hangzhou, Zhejiang, more than 1000 kilometers away, after the second snowfall, customers in the shopping mall were also squeezed.

Sketch: Ning Xuwei, manager of Hangzhou Yinlin store, because of the weather, like those two days of snow, the down jacket is still selling well.

Liu Qiangfeng, director of Hangzhou direct camp District, Jiangnan cloth clothing: the proportion of down jacket goods accounts for about 30%, which is the display of our store, but it occupies 50 to 60% sales volume.

Many businessmen told reporters that since the beginning of winter, cold air has been coming frequently, and the sales of down garments category have increased to varying degrees compared with the same period in previous years.

Baidu search index showed that the peak value of search for "down jacket" in the past month was closely followed by the search words such as "cold wave" and "cold air".

This reporter has learned that many clothing brands view the characteristics of down clothing products with high price per unit price, plus the number of down jacket products, which account for half or even higher in winter clothing styles.

HARDY HARDY Beijing Chaoyang Joy City store manager Yang Xiwen: the overall price of the down jacket is basically between 2500 and 4000. Other clothes, such as sweater trousers, are basically over one thousand.

Flying birds and new wine Beijing Chaoyang Joy City store guide Wang Xing: people will feel that the psychological price of down jacket is now around two thousand, like this down jacket two thousand or three thousand yuan, customers feel okay.

The canadian goose flagship store, which opened half a month earlier than the original time, opened in Beijing at the end of last month. When there was no discount, the average price of nearly ten thousand yuan was sold out in a few days.

And online stores, according to Tmall big data, down clothing category ushered in "sales year", double 12 Shopping Festival in one week sold about 2 million down clothes, 1500 yuan price of down clothing has become a new blue sea.

Lv Jianmei, deputy general manager of Tmall clothing: the price of young people buying down eiderdown is getting higher and higher.

From 25 to 35, this age group has the highest price in the whole market.

Raw material prices doubled, down processing enterprises profit pressure

This year's sales of down garments are really hot.

Then, with the increase of sales and prices, will the profits of the downstream down processing industry increase?

Reporter Su Tong: This is a down processing workshop in Xuancheng, Anhui. In my hand, this is the white duck raw material hairy just arrived.

The technology of feather down processing is to extract the lightest fuzz from feathers to make down garments through cleaning and sorting.

This workshop can handle 30 tons of raw wool per day, like I can make 35000 down garments.

In the largest feather processing enterprise in the country, the raw material wool of a car is constantly being pported into the factory. The person in charge told reporters that the key word of raw material price in this winter's down season is only one.

Fu Miaokui, chairman of Willow Bridge Group: from 16 years to now, you are like 50% white duck with cashmere volume. In 2016, it is 100 yuan per kilogram and now it is 250 yuan per kilogram.

It is understood that in the mainstream of the white cashmere with 90% cashmere washing volume, for example, the market price in December basically maintained at around 450 thousand yuan per ton, nearly doubled compared with the beginning of the year, at a historical high.

Insiders told reporters that the market of feather and down products was getting warmer, the production of meat and waterfowl declined overall in 2018, and the price of substitute cotton continued to rise.

But many enterprises said that the current hot market situation did not bring more profits to them.

Fu Miaokui, chairman of Liu Qiao group: 70% of the list in 2019 has been fixed.

Therefore, if the price of raw materials rises, we will be at a great risk, under great pressure, with little profit margin, and even if the price is much higher, we should lose money.

Du Dasheng, executive deputy general manager of Zhejiang Samsung down Limited by Share Ltd, because Gao buys high, sells low, buys low and sells, the main right to speak down raw materials is still in these enterprises that raise ducks.

The purchase cost of raw materials will increase by about 30%.

It is understood that as the traditional light industry, the overall profit margin of the down processing now fluctuated between 3% and 5%.

In order to reduce the risks brought about by the fluctuation of raw material prices and increase profit margins, many down processing enterprises have chosen to extend the upstream and downstream industries, such as joint ventures with breeding enterprises, or the establishment of self run downstream products factories.

Some enterprises have also increased investment in production equipment to produce higher value added feather products.

Rongda, general manager of Anhui down and down bedding Co. Ltd., Yang Youwei: if the customer needs 90% higher cashmere content, then we may consider some single box machines which are highly highly skilled. Although it is relatively slow in efficiency and low in output, its value is high.

Yu Lifang, chairman of Anhui Fang Xiang down products Co., Ltd.: the input of equipment should be 30%-40% in the whole investment. Now many of them are high fluffy feathers, including functional feathers. If the equipment is not updated, you will definitely not be able to produce new products.

Enhance standards, strengthen domestic brands and strive to become "fashionable"

In the survey, our reporter learned that China is now the world's largest producer, export and consumer of feather and down products, occupying more than 70% of the global down trade market share.

However, the market visibility and recognition of domestic down jacket brands are not high.

So how can this change?

Ms. Lin, a consumer in Beijing: This feather is washed once, its warmth drops, and it is not warm after washing, so I have to buy another warm one.

Beijing consumer Mr. Wang: young people must be looking for good looks. I may not choose a down jacket now because it is not my style.

During the interview, many consumers put forward the requirements for the quality and design of down jacket.

As for the status of poor recognition of domestic down products in consumers, insiders say that the current industry standards in China are not strict enough, and there are still some irregular behaviors in the domestic down products industry, which leads to shoddy chaos in the industry.

However, China's feather down manufacturers have the advantages of strong processing ability, close to the raw materials and other advantages. Some European and American luxury down jacket brand production processes are not only lack of Chinese factories' participation, but also have good performance in international testing.

The industry calls for the upgrading of industry standards as soon as possible, so as to enhance the overall quality of domestic down products.

And how to make down products become fashionable has become the exploration direction of many brands in the industry.

Strengthening their sense of design and benchmarking international brands has become their goal.

Gao Dekang, President of Bosideng International Holding Co., Ltd.: we accept the brand from other countries to put it here, so that you can upgrade yourself, do not have any craft and other problems. Instead, after they come to raise our price, my space is bigger.

The industry expects that by 2022, the market size of domestic down garment will reach 162 billion 100 million, the annual average growth rate will remain at around 10%, and the category of feather and down bedding and other branch lines is also developing at a high speed.

Metersbonwe Group Chairman Zhou Chengjian: the product space opportunities of this category, or its value mining, still needs to make efforts.

I think our domestic brand opportunities will be bigger and bigger.