How To Break The Textile Industry System In Keqiao

In the past two years, Zhuojiao still withstood the pressure of the textile industry to withstand the pressure of the epidemic,

1、 Dilemma

Industry reshuffle in progress

Since March, the unexpected "cold in the last spring" and the complicated evolution of the situation in Russia and Ukraine, as well as the rising prices of raw materials, have impacted on the stability and recovery of the textile industry, and the market is expected to fluctuate greatly. At present, the triple pressure of demand contraction, supply shock and weakening expectation faced by the development of textile and garment industry has not changed. Some adverse factors are still complex evolution, and the new downward pressure is further increased. We should have a full understanding of the challenges and tests.

This year, reporters learned that the increase of raw material supply chain and the increase of cash flow are the main reasons for the increase of raw material supply chain. The extreme pressure brought about by the epidemic is like a mirror, which clearly reflects the long and short boards of Keqiao Textile Industry - the integrity of the industrial chain does not mean the strength of the industrial chain. To be sure, a quiet "shuffle" is going on.

"In the case of high inventory and low demand, the phenomenon of selling goods in the market is one after another." Xiang Liqun, the person in charge of Shaoxing Daokuan Textile Co., Ltd., describes today's industry competition with "inner volume". According to reports, the company's main curtain products, sold to Europe, the Middle East and other countries. With the domestic epidemic situation affecting the smooth supply chain and the global epidemic affecting the demand side, in the peak season of gold, silver and four, similar enterprises are facing the reality of sharp reduction in orders, and "price reduction" has become one of the measures taken by many textile enterprises to stimulate the market. "Even if a good order has been placed, the rising price of raw and auxiliary materials, the uncertainty of delivery time of dyeing plants, and the blocked logistics of finished products will affect the supply chain and franchisee relationship, and lay hidden dangers for the follow-up operation." Whether to consider expanding the proportion of domestic sales? Xiang Liqun admits that transformation is not easy. "At present, the domestic market cake is getting smaller and smaller, also facing a silent price war. And the rules of the game of foreign trade and domestic sales are different, enterprises dare not turn around easily."

Xiang Liqun's situation is almost the projection of Keqiao Textile enterprises. "Gold three silver four" should have been the traditional peak season of textile fabric enterprises, but now enterprises are deeply trapped in the "quagmire" of product price reduction. It can be said that the recent market price reduction has exposed the current dilemma faced by the textile fabric industry.

Shaoxing Jia Simin textile mainly sells children's clothing fabrics. General manager an Lun believes that although everyone still has hope for the future market, the situation of "big fish eating small fish" in the textile industry will become more and more obvious, and the market elimination rate will continue to increase. However, it is not necessary for Ann to turn on the mobile phone to see the latest progress every day; Take turns to ask customers with frequent cooperation about the epidemic situation in their respective areas.

"At present, as an enterprise, slimming is the only way to save money and live on is the way out." Allan said frankly that the impact of the epidemic will still be reflected in the whole year of 2022, and the later stage will involve technology, comprehensive service capacity and even some financial support. For some small textile enterprises, it is more difficult to do a single sales network, mainly relying on price competition, because it is difficult for small enterprises to provide comprehensive services. This also means that in this competition, service-oriented enterprises will stand out.

2、 Break the game

Search for new initiative

The more difficult it is, the more tenacity is tested; The more challenging it is, the more exciting it will be.

Recently, the reporter learned from China Light and textile urban construction and management commission that in the first quarter of 2022, the light and Textile City farm handed in a gratifying answer sheet, achieving a "good start". Data shows that from January to March, the turnover of fabric market in China Textile City was 49.48 billion yuan, with a year-on-year growth of 0.21%; The online transaction volume of Textile City reached 15.49 billion yuan, an increase of 42.42% over the same period of last year. The turnover of "online and offline" two markets of Textile City reached 64.97 billion yuan. This is today's Keqiao Textile Economy: stability is the first step, and steady progress. In the smooth start, there are bright spots and difficulties; There are hopes and difficulties. Opportunities and challenges are intertwined, and power and pressure coexist. Behind the data are the industries, factories and workshops, as well as market merchants and thousands of lights.

The textile industry has a huge market, which also provides numerous possibilities for enterprises. Therefore, enterprises are well aware of the importance of responding to the great changes in the market through innovation. Dynamic adjustment of production capacity, looking for the second growth curve in uncertain environment, has become the primary rule for textile enterprises to survive under the epidemic situation.

"At present, on the basis of strengthening epidemic prevention and control, enterprises have further expanded their production capacity, especially in the production of diversified products to open up the market, so as to drive back the time and orders delayed by the epidemic." At present, the manager of Zhejiang Huida Garment Co., Ltd. does not combine the actual production of Zhejiang Huida Garment Co., Ltd. Huida textile is mainly engaged in all kinds of cotton dyed fabrics and denim fabrics. It is the fabric supplier of Levi's, Lee, H & M, UNIQLO, etc. Under the epidemic situation, Huida textile actively seeks the transformation from B2C to C2B, and develops a series of fabrics from yarn raw materials, such as antibacterial, cold feeling, aromatic, acetic acid and so on, and constantly makes efforts on product functionality.

According to the market demand, there are not many textile enterprises in Keqiao that are undergoing rapid transformation. Taking Huida textile as an example, the textile enterprises have adjusted the product structure through hard work and increased the production proportion of textile products with strong versatility and functionality, so as to ensure that the products will not worry about the market after the epidemic.

In addition to dynamic adjustment of production capacity, there are more enterprises choose to seek new sales channels. Not only that, in order to expand the market, some enterprises have also followed the current hot network anchor, and started to live online, so that sales have more new ideas and ideas.

Daokuang textile originally mainly used the overseas exhibition as the sales channel. Since 2019, the company has insisted on regular "one-to-one" video live broadcast for customers, and has made curtain products into finished curtains and decorated exhibition halls to provide online services for customers. Since then, compared with the previous years, the effectiveness of the whole chain has declined due to the impact of the epidemic situation on the international supply chain. "But no matter what, we will still adhere to our original intention and service, and will never lie flat." This is also the aspiration of many Keqiao Textile enterprises. The more difficulties they face, the more they need to show their magic power.

3、 Pattern

Risk control and long-term layout

The key point of the economic work requirement of "stability is to see whether the market main body can stably expect and develop steadily". When the epidemic situation becomes a fact, "opinion" determines the "way out". Market entities, connecting the economic lifeline and urban-rural circulation, are related to people's daily necessities, meals and seasons. Under the current impact of exceeding expectations, Keqiao is lighting more policy "bonfires" to warm market entities and stabilize development expectations.

Shaoxing Haiang import and Export Co., Ltd., as a foreign trade enterprise focusing on the Nigerian market, Xu Qinfeng, the head of the company, said that the oil price rose due to the conflict between Russia and Ukraine this year, resulting in a sharp drop in the Nigerian exchange rate. At the same time, with the repeated domestic epidemic situation and safety problems, the international logistics shipping schedule is tense and the sea freight continues to rise. In this situation, market procurement trade as a channel to open up new business opportunities, in the case of unstable traditional foreign trade situation, let products with tickets export through general trade, and products without tickets go out through market procurement trade, and stabilize their sales by the way of "general trade + market procurement".

On the one hand, the integration of internal and external trade at the level of operation mechanism enables small and medium-sized and micro enterprises to carry out "foreign trade" in the form of "domestic trade" through the process transformation of "domestic trade of transaction link and foreign trade of logistics link". On the other hand, it is the typical embodiment of specialization in the field of foreign trade. Market merchants only need to focus on transactions, and the complex and professional business of export link does not need to participate in by themselves. This is also the idea of most Keqiao enterprises that join the market procurement trade mode. They hope that they are not only operators, but also suppliers, but also foreign trade enterprises. They want to realize the high-quality development of enterprises by multi-line parallel.

The government should deal with uncertainty. The certainty lies in many market subjects who are sensitive to market information and have strong response to the crisis, and even more lies in the industry strength cultivated over the years. A few days ago, in order to effectively undertake the provincial and municipal "5 + 4" policy system, accelerate the construction of "intelligent manufacturing strong zone", give full play to the guidance and traction role of policies, further optimize the industrial structure, stimulate market vitality and activate enterprise kinetic energy, Keqiao district has issued the 2022 "opinions on promoting the high-quality economic development of Keqiao" and formed a preferential policy package. In addition to high-quality policies, 19 preferential policies for enterprises have been formed in the whole region, involving expanding effective investment, reducing the burden to strengthen enterprises, scientific and technological innovation, two stability and one promotion. Among them, five policies are the continuation of last year's policies, and 14 new policies have been formulated this year There are five policies, including the implementation opinions on further promoting the integration and upgrading of printing and dyeing industry, the opinions on lightening the burden of enterprises and stimulating the development vitality of enterprises in Keqiao District of Shaoxing City, some policies on speeding up the construction of talents strong district of "hometown of celebrities" in the new era, and the notice on organizing enterprises to carry out the application work of supporting policies for retaining jobs and increasing steady growth.

The cultivation of new factor advantages is accelerated, and the comparative advantages of traditional factors exist for a long time. The epidemic lasted for more than two years. In this arduous historical test, Keqiao Textile industry system and capacity withstood the "stress test" and "refused to lie flat and still prepared to meet every day's work with 100000 points of preparation". This is the shared attitude of the textile enterprises interviewed, and I believe it is also the inner monologue of all industry participants. In the current situation, the textile industry chain has become a consensus. The window period of industrial modernization has come, and they must stand on the commanding height and start a new situation in the changing situation.