The Origin Of Raw Materials Has Become The New Goal Of Shaoxing Garment Enterprises.

Because of the high cost of raw materials, manpower and land, Clothing enterprises in Shaoxing The price advantage in the market competition is gradually disappearing, especially in traditional industries such as clothing, textile, home textiles, machinery and so on, and the challenges it faces are even more severe. In order to break this passive situation, some garment enterprises began to upgrade their articles, such as starting from raw materials, purchasing or building their own raw material production base, so as to achieve the goal of lowering the quality and upgrading the quality. The eyes of former garment enterprises are mainly focused on the market. Now, the raw material producing areas in the upper reaches of the production line have become the new target of Shaoxing garment enterprises to attack cities and towns.

Two years ago, the news that Jie Liya spent 3 billion 500 million yuan to build the world's largest towel producing base in Akesu, Xinjiang Province, has immediately aroused widespread concern in the industry. Today, the cotton base established by Xinjiang in 350 thousand years of cotton production, accounting for 1/20 of the country's cotton output.

Last year, another garment company in Zhuji, Vietnam's US textile company, spent one hundred million euros, bringing the state-owned Cotton Corp in the African Republic of Mali into "Yue Mei". The company is the most important cotton production and acquisition garment company in Mali, and has a million mu planting area in Mali, and has 17 cotton processing plants. In western Africa, Mali is currently the third largest cotton producing country in Africa, and cotton is the main export product of the country. It is not difficult to see that the purpose of the acquisition plan of "Yue Mei" is also for raw materials -- cotton.

It is understood that at present, such as Jie Liya, Yue Mei textile so keen to look at. Textile industry There are quite a few garment enterprises in the upper part of the market. The reason is to control the raw materials at the source and avoid the market risks brought about by changes in the price of clothing raw materials. "This is actually the result of market force." The relevant person in charge of the economic operation Department of the Municipal Commission of letters told reporters that "for textile and garment enterprises, since 2008, the price of clothing raw materials, especially the upstream and downstream prices of cotton yarn and other upstream and downstream products, has made the garment enterprises face more and more market risks. Many powerful textile and home textile and garment enterprises have begun to plan their own production of raw materials."

It is reported that in addition to the cotton textile and garment enterprises to establish a cotton base, the "yellow rice wine" clothing enterprises represented by "Guyue Longshan" have also established more than 4 acres of raw material bases in the grain producing areas of Changzhou, Anhui, Tongling and Hubei Yingcheng. The Shengzhou tie clothing company and Yongfu County, Guangxi, signed an annual production project of 500 tons of white silk and 1000 tons twisting silk, and set up a sericulture base for 500 tons of silk in the region. For a time, the establishment of raw material base has become a common understanding of clothing enterprises in Shaoxing. According to preliminary statistics, garment enterprises in Shaoxing have established thirty or forty "raw material bases" in various parts of the country and abroad by means of cooperation or acquisition.

Why are fashion enterprises keen to build "bases"? Shaoxing garment enterprises are keen to establish their own raw material base. The reason is very deep. For textile and garment enterprises, the cost of raw materials accounts for 50% to 80% of the cost of production. Raw material price The impact of fluctuations on clothing enterprises is very large. In recent years, the price changes of textile raw materials have worried Li Yangyao deeply. "The deepest impression is at the end of 2009, and the price of cotton yarn has risen all the way. 40 pure cotton yarns are still around 24000 yuan / ton in early November, and the price per ton has risen by 4000 yuan in one month, and now the price has dropped to 25000~26000 yuan / ton. Over the past few years, the price of cotton yarn has fluctuated greatly, and the price has been overall upward. Li Yangyao believes that the rising price of raw materials will, to a certain extent, affect the development of textile and garment enterprises. If a strong clothing enterprise owns a raw material base, it can effectively resolve the price risk of raw materials.