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Textile Industry Is Still In The Doldrums, Garment Companies Are Forced To Shift To The Midwest.

2012/11/8 13:52:00 10

Textile IndustryTextile Industry SituationSpinning Enterprise Transfer

 

In recent years, with the shrinking of foreign trade and the rising cost of labor in the southeast coastal areas, a large number of labor costs have risen. clothing Enterprises began to shift to the central and western regions. The central bank also proposed in November 2nd the central bank's three quarter monetary policy implementation report. Spin The industry should be transferred to the central and western regions in order to form a regional layout with complementary advantages in eastern, central and western textile industries.


However, reporters found that some small and medium-sized textile enterprises in Central China have begun a new round of layout, considering that they will be settled in three line cities.


Textile industry continues to slump


Textile enterprises are still breaking through. Affected by the continuous shrinkage of demand, production growth in the textile industry is still declining.


The central bank issued the central bank's three quarter monetary policy implementation report November 2nd (hereinafter referred to as the report), which showed that in the first three quarters, demand for Europe and America dropped sharply, external demand was sluggish, and textile and clothing exports were 187 billion 160 million US dollars, down 1.1% from the first half.


Data released by the General Administration of Customs in September 10th also indicated that in the first eight months, China's clothing exports were US $99 billion 480 million, down 0.7% compared with the same period last year, and textile exports were US $62 billion 510 million, down 0.7% from the same period last year.


In addition to export weakness, the phenomenon of "cotton price upside down" at home and abroad has not changed. This makes the downturn in textile industry worse.


This year, at home and abroad cotton Spreads are showing an increasing trend. According to the statistics of the China Federation of textile industry, the average cotton price difference between home and abroad reached 3638 yuan / ton in January this year, and in April ~8, it climbed to 5040 yuan / ton.


For most textile enterprises, the import quota of cotton is very limited due to the influence of foreign trade management rights and credit lines. Many enterprises have to buy expensive domestic cotton. As a result, the cost of raw materials for textile enterprises has greatly increased and profits have declined.


A director of Hubei Cotton Association once told reporters that "the situation is too general now, and it is not easy to say no worries."


The central bank also reported in the report that under the influence of many unfavorable factors such as cotton price fluctuation, labor force and energy cost rising, the overall efficiency of the textile industry has declined compared with the same period last year.


  Central bank: textile enterprises are advised to move to the central and Western Regions


Textile industry is a traditional pillar industry and important livelihood industry in China. It has obvious international competitive advantages. But in recent years, the textile industry has been severely affected by the slowdown in the global economy.


It is understood that at present, about 80% of the capacity of China's textile industry is concentrated in the eastern region, but they are faced with the problem of rising labor costs and shrinking demand.


The central bank's report holds that the "12th Five-Year" period is an important period for textile industry to become stronger and stronger. We should seize the opportunity to guide the orderly transfer of the textile industry and form the regional layout of the complementary advantages and coordinated development of the textile industry in the East and the West.


Reporters found that the voice and movement of textile enterprises moving to the Midwest actually appeared a few years ago.


Public information shows that through the undertaking of industrial transfer, the development level of textile industry in the central and western regions has improved, especially in the cotton textile and garment industry. The profit growth in 2011 is 1.3 times higher than that in 2009.


The latest data from the National Bureau of statistics also showed that the investment in the textile industry in the central region increased by 18.7% in the month of January ~7, accounting for 30.5% of the whole country, representing an increase of 0.5 percentage points over the previous year. The investment in the western region increased by 19.7% over the same period last year, accounting for 8% of the total proportion of the whole country, representing a 0.2 percentage point increase over the previous year.


Mainland textile enterprises: consider moving to three tier cities


The pace of "moving inland" of the eastern coastal textile enterprises is continuing. But there is a signal that may be more noteworthy.


Reporters found that the central city of Wuhan, Changsha and other places of textile enterprises have begun docking with Xiaogan, Hong'an and other places in Hubei, through the way of entering the local industrial park to "move" to the three line cities.


In October 24th, the "China central light textile clothing capital" invested by Hubei Chuan Dong Group invested 10 billion yuan in Hong'an, Hubei. The move is interpreted by the local media as "the latest masterpiece of Hong'an's overall undertaking of the transfer of Wuhan's textile industry".


It is understood that at the foundation ceremony, apart from government officials and representatives of textile associations, there are also textile and garment manufacturers from Eastern Changshu, Jiangsu and Fujian. Among them, Jiangsu Riad Limited is still on the scene, signed the intention agreement.


If this is a microcosm of the "relocation" of the eastern enterprises, then some enterprises in Wuhan Hanzheng Street industrial city and Han Zheng cleaning and dyeing city have already been "migratory" signs.


According to reports, a number of clothing owners expressed the intention to move out, because "cheap labor here, close to Wuhan." It is understood that the "Central China Textile and clothing capital" project is located at the entrance of Wu Ma expressway, which is only 50 kilometers away from Wuhan Tianhe Airport, Wuhan high speed rail station and HanKou Railway Station.


Manager Liu of Hubei Star Group Marketing Company of Sichuan East Group also told reporters that many textile enterprises in Wuhan and Changsha have shown the idea of entering the "Central China Textile and clothing capital".


According to him, the famous Wuhan Hanzheng Street is generally a store for textile enterprises, but the processing plant is basically located in Changfeng Township, Wuhan's Qikou district. In March this year, thousands of families Garment processing From there, the small workshop moved to New River Town, Hanchuan, Xiaogan, Hubei.


"Some of them have not yet gone, but also move to Hong'an. Hong'an (employment) wages are not very high, they are looking for workers from farmers. Manager Liu said.

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