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Chinese Clothing Is Weakened By Price Inversion In Raw Material Market.

2012/8/21 10:12:00 25

China's TextileClothingCotton Prices

Every summer, China's textile industry

clothing

The Trade Fair will be held at the New York Exhibition Center.

At the same time, New York international fashion sourcing exhibition, New York home textile purchasing exhibition and the United States were also held.

Clothing fabric

Exhibition.

This is the most prestigious textile and apparel exhibition in the eastern region of the United States. Many Chinese companies come to the exhibition every year, and many international buyers interested in China's textile and garment industry come to participate.


This year's thirteenth exhibition will be held as scheduled.

What surprised the organizers was that the number of Chinese enterprises exhibiting in this year was particularly large, reaching 356, and nearly 20% of the exhibitors were hastily decided to take part in the spring fair after the end of the Canton Fair.

The reporter has interviewed this exhibition for many years. Compared with previous years, the number of large enterprises exhibiting this year has obviously increased, and some large enterprises with high popularity and influence in the industry have come, such as Shanghai textile control, Tianjin textile control, Guangdong Textile Import and Export Group, and so on.

Zhang Tao, director of the China Textile Industry Federation of the exhibition organizer, told reporters that "from this it can be expected that the shortage of orders for Chinese enterprises is very serious this year. They are not getting enough at the Canton Fair, so they come to New York with an urgent sign of signing."


At the autumn fair promotion conference held in New York recently, officials from China's foreign trade center also contributed to the 70 fashions in New York.

Designer

At the Canton Fair, we went to China to find manufacturers with high quality and low price, and also to find new ways for Chinese manufacturers.


according to

China Textile

Lin Yunfeng, vice president of CCPIT, said that China has 18 million people engaged in textile and garment industry, and its output value is about US $400 billion.

China's textile exports account for 1/3 of the world's textile trade, but this 1/3 accounts for only 20% of China's total industrial output value. That is to say, the production capacity of China's 80% textile and garment industry is for consumption rather than export oriented. The competitiveness of China's textile and garment industry in the international market is caused by comparative advantages.


Raw material market price upside down


Lin Yunfeng said: "we always say that the main goal of China's textile and garment industry is to meet the increasing needs of the domestic people. However, when the growth rate of domestic sales is down, the impact of the international market on enterprises is particularly important."

In recent years, China's overall trend of rising prices of production factors can not be stopped, labor prices have risen, water, electricity, gas and land prices have risen, and in terms of raw materials, the international market and domestic market are upside down.

For various reasons, domestic

Cotton price

It is much higher than the international price. The price of cotton yarn imported from Bangladesh and Pakistan is cheaper than the price of cotton in China. However, Chinese enterprises are unable to freely and independently import cheap cotton yarn from abroad. "Obviously, our comparative advantage is gradually weakening."


According to industry sources, the competent departments of textiles and clothing have submitted reports to the State Council on many occasions, hoping that the central government can take effective measures to change the price inversion phenomenon of raw materials market. "But monopoly power is too strong, and the report has not been released for one or two years."


Under such circumstances, China had to give the low end market to other developing countries.

At the New York exhibition, the reporter noted that the cotton knitwear from Bangladesh and the clothing industry of Vietnam and Pakistan also began to develop.

Although their products are not sophisticated enough and their grades are not high enough, the price advantage makes them quickly fill the development space left by China.


In terms of medium and high grade textiles, Turkey is rapidly catching up with the international market.

"They are close to Europe, have a similar culture and language, have a high starting point and are developing at a very fast pace."


In terms of ready-made clothes, visiting the shopping malls or supermarkets in New York and looking at the labels in clothing, it is easy to see that the labels of "made in China" are less and less, especially those of low price products, which are replaced by labels made in South Asia, Central America or South American countries.

According to a exhibitor, for those orders with fewer deliveries, faster production cycle and higher processing quality, they will remain in China. For these orders, the advantages of China's industrial chain will be reflected.

But he also said with concern: "I don't know how long this kind of advantage will last."

In fact, not only the international division of labor is changing, but also the division of labor in China is changing. Labour intensive garment factories have already moved to the central and western regions.

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