Textile and garment industry faces "pressure increase"

"Compared to this, enterprises with a full industrial chain will have far greater cost control, anti-risk, and profitability capabilities than a single product company. In the entire city, it will create an increasingly complete and high-end industrial chain. The industrial system will speed up the textile and garment industry in our city to form an integrated competitive advantage, said a textile industry expert from Daocheng.

In the downturn of the market, the textile and apparel industry is bound to face a new round of reshuffling.

According to statistics from the Qingdao City Economic and Information Technology Commission, 739 textile and garment enterprises above designated size in Qingdao have achieved a total industrial output value of 139.37 billion yuan, a year-on-year increase of 23.1%, accounting for 11% of the city's total industry; and an export delivery value of 34.01 billion yuan, a year-on-year increase. 30.4%; realized profits of 7.14 billion yuan, a year-on-year increase of 21%.

Under the pressure of multiple unfavorable factors, the city's textile and apparel industry has produced a good transcript. However, after weather storms may not be full of rainbows, judging from the current situation, problems such as high costs, shrinking demand, difficulties, and increased trade frictions will become more prominent this year. Pressures are increasing year by year. Textile and apparel companies, especially small and medium enterprises Businesses face the test of life and death.

“The tight external environment has formed a market retreat mechanism, and the city’s enterprises have only taken the initiative to accelerate the implementation of adjustments and transformations before they can become winners,” said a person in charge of the City Economic and Cultural Commission.

The external impact is very strong. From the operating situation, last year the city's textile and clothing industry was strongly impacted by external factors. As the price of major raw materials fluctuated significantly, affecting customers’ price expectations and ordering behaviors, coupled with tight funding constraints on small and medium-sized enterprises, in the first five months of last year, the increase in output value of the textile and garment industry in our city showed a downward trend, from January. 24.1% fell to 17.7% in May.

In this context, the city accelerated the construction of key textile and apparel projects and led to industrial transformation and upgrading. According to statistics, last year the city's textile and garment industry adjustment and revitalization project reached 31, with a total investment of 4.3 billion yuan, of which, 12 projects have been completed, an accumulated investment of 600 million yuan, high-grade jacquard printing, high-grade fabric dyeing, functional fiber R&D, The technological level of key areas such as recycled fiber products recycling has been greatly improved.

The transformation and upgrading of textile and clothing enterprises in our city to deal with difficulties and enhance profitability, has played an immediate effect. For example, Qingfanglian Group made every effort to upgrade its fiber technology innovation capabilities last year, ranking 96 places higher than the previous year in the top 500 competitiveness enterprises in the Chinese textile and apparel industry.

“It is the active implementation of adjustments and upgrades that has enabled our city's textile and clothing industry to gradually increase from the beginning of May, namely the production, sales and export of key enterprises such as hair, Qingfang and Hongling, and achieved significant growth last year. , Phoenix printing and dyeing last year ranked first in China's batik fabrics production companies, that is, hair, Xueda's profit growth reached 84.4% and 77.2%, respectively, said the person in charge of the Consumer Products Industry Division of the City Economic and Cultural Committee.

This year, the pressure may show signs of increasing. As a fiercely competitive traditional industry, the pressure for survival of the textile and clothing industry will further increase this year.

Looking back at 2011, the sharp fluctuations in the prices of raw materials made the domestic textile and clothing industry miserable. In March of last year, the price per ton of cotton exceeded 30,000 yuan, and by August it had fallen by more than 60%, resulting in sluggish production and sales of related companies, an increase in inventories and a decline in earnings. The cost of labor has also been rising. The average increase in recent years has remained above 15%. ** The problem has become increasingly prominent, resulting in increasingly tight liquidity among small and medium-sized textile and garment companies.

"This year due to the impact of European debt crisis and other factors, the recovery of the world economy is weak. It is expected that the demand in the international market will remain weak. The shortage of demand for textile and garment enterprises and the intensified competition will become more prominent. Raw material prices and labor costs may continue to rise.* * Hard problems are also difficult to get fundamental improvement." Analysis of a textile industry expert in our city.

The domestic textile and garment industry's export pattern has also quietly changed. According to research conducted by relevant domestic institutions, in recent years, countries such as India, Pakistan, Vietnam, and Bangladesh have been relying on cheaper raw materials and labor costs, which have caused the loss of export orders for small and medium-sized textile and garment companies in China.

Calling for "Integrated Competitive Advantage"

“Traditional industries do not represent lagging industries. As long as the textile and garment industry unwaveringly improves the level of technological content and product design, and strives to achieve product innovation, branding, and product quality, it will be able to rebuild its competitiveness and establish new advantages.” A person in charge of the letter said.

It is reported that this year the city will closely focus on industrial transformation and upgrading of the main line, the comprehensive use of financial, financial, information and technological transformation and other means to guide enterprises to increase investment in R & D, actively expand the market, vigorously promote investment and project construction, focus on the development of high-end industries , Promote the rapid development of high-end apparel, new fabric development, industrial textiles, and women's wear.

As the main body of inheritance of Qingdao's century-long textile industry, Qingfang Textile has continued to transform and upgrade in recent years. At present, it has formed a unique multi-component, differentiated and functional product R&D production capacity, and the conversion rate of new achievements exceeds 50%. At the same time, the group also closely follows the main industry forging the "full industrial chain" advantage, forming a cotton textile as the core industry, science, industry and trade integration, production and research, covering fiber, textile, printing and dyeing, home textiles, clothing and other fields, supporting the industrial chain Complete professional group.

"Compared to this, enterprises with a full industrial chain will have far greater cost control, anti-risk, and profitability capabilities than a single product company. In the entire city, it will create an increasingly complete and high-end industrial chain. The industrial system will speed up the textile and garment industry in our city to form an integrated competitive advantage, said a textile industry expert from Daocheng.