[Webbing Network News] In the first four months of 2011, the export volume of Quanzhou's textile and apparel products showed a downward trend. On May 19, the Quanzhou Entry-Exit Inspection and Quarantine Bureau was informed that from January to April 2011, the bureau inspected and exported 6,350 batches of textile and apparel, with a value of 181.3 million U.S. dollars, export batches decreased by 20.6% year-on-year, and the value of goods rose by 6.8% year-on-year .

    In this regard, industry insiders said that due to cost pressures, most textile and apparel companies in Quanzhou have increased their product quotations. Due to the impact of quotation increases, some foreign buyers have reduced their orders. The sharp fluctuations in the prices of raw materials such as cotton have also caused some textile and apparel companies to "decline" long-term orders. Under the influence of various factors, the pace of Quanzhou's textile and apparel companies' order acceptance has slowed in the recent period.

    New quotations are difficult to be accepted

    "A round of prices has been raised in 2010, so it is much more difficult to persuade old customers to accept the once again increased prices in 2011." The relevant person in charge of the Omori Garment Foreign Trade Department who returned from the Canton Fair was quite depressed, "2011 Most of the participants in the Canton Fair in 2009 were old customers, and there were few new customers. Some old customers asked to place orders according to the 2010 quotation as soon as they opened their mouths. After being rejected, they said that they could not accept the new quotation in the short term. Buffer time."

    Although the product quotation in 2011 increased by about 40%, Mr. Wu of Shishi Yi Underwear Co., Ltd. was still worried: "The increase in product quotation only eased the pressure caused by the cost increase. In fact, the company's profit has not increased significantly. Increasing the impact, the company's order volume fell by about 16% in the first four months of 2011."

    Regarding the decline in orders received by textile and apparel companies, the relevant person in charge of Quanzhou Inspection and Quarantine Bureau analyzed that textile and apparel products in Quanzhou are mainly exported to European and American markets. In 2010, the European and American economies gradually improved, and local buyers placed orders to replenish inventory, resulting in textile and apparel Business orders are saturated. In 2011, some buyers considered that the consumption capacity of the European and American markets has not been fully restored, and the inventory replenishment in 2010 has not been digested, and the order is more cautious than in 2010. Some European and American merchants, considering that the price advantage of Chinese textile and apparel products is gradually disappearing, began to transfer a small number of orders to Bangladesh, Vietnam and other regions.

    In addition, many companies engaged in textile and apparel export, such as Huafei Garment, Federal Sanhe and Wangzai Apparel, expressed concern about the industry’s rumors that the export tax rebate rate for textiles and apparel has been lowered. “Currently, the profit of textile and apparel is 4%-6% The export profits are already meager. If the export tax rebate rate is suddenly adjusted, some overseas orders received will suffer heavy losses."

    Stop shopping for low-end and middle-end to vigorously develop independent brands

    Although Quanzhou is a traditional textile and apparel export base, the proportion of products currently exported in the global mid-to-high-end textile and apparel market is still low. Due to factors such as the continued appreciation of the RMB and rising labor costs, the profit margins of OEM and OEM companies are constantly being eroded and squeezed. For Quanzhou’s textile and apparel companies, only by accelerating product upgrades and taking the route of independent brands can they obtain Better survival and development space.

    In this round of price hikes in 2011, textile and apparel export enterprises with independent brands have stronger bargaining power. In 2011, Shishi Mengdiqiu Company successfully launched its own-brand casual pants into the US market. The product quotation reached US$25 per item, more than double the average factory price of domestic orders in the industry. The two independent brands and ODM products operated by Lehma (China) Co., Ltd. in 2011 increased prices by about 20%. Since the product style designed by the company is favored by customers, the new quotation is accepted by most European merchants.

    In addition to developing independent brands, textile and apparel companies can also enhance the added value of products through innovative production processes and research and development of new materials. For example, the cold transfer printing technology introduced by Gage replaces dyeing with printing. While reducing the dyeing link, it also saves a lot of energy consumption, and better solves the problems of environmental protection and clean production of dye printing. The large embroidery technology of Shishi Jianjian Group increases the added value of ordinary basketball uniforms and baseball uniforms, and the average unit price of the products is increased. Hongyuan, a company that originally used cotton textiles as its main product, has accelerated the research and development of bamboo fibers and mixed cotton textiles, greatly reducing the production ratio of low-end and middle-end products, and increasing the unit price of exported products by more than 25%.