The Average Profit Of The Domestic Textile And Garment Industry Is Only 5%. The Ultimate Way Is To Do Well In The Brand.

< p > "most of the current domestic a target=" _blank "href=" //www.sjfzxm.com/ "> textile < /a > a target=" _blank "href=" _blank "> clothing < < Enterprise > the profit is only 5%.

Jiang Hui, President of the China Textile Import and Export Chamber of Commerce, pointed out to reporters at the 2013 Forum on sustainable development at the closing ceremony yesterday. There are basically four solutions to the pformation problems facing the domestic textile and garment industry.

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< p > < strong > insufficient capacity demand < /strong > < /p >

< p > Jiang Hui said: "the current domestic a href=" http://sjfzxm.com/news/index_c.asp "> the textile and garment industry < /a > overcapacity, the average profit margin is low.

A good company may have a profit of 20%, but it is very rare. Most enterprises can only do about 5%. "

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The difficulties encountered by the P industry include not only the lack of demand in the European market, but also the artificial rise.

"Let's make a comparison. The average monthly salary of our textile and clothing owners is about 500 dollars per month, and the salaries of Kampuchea and Vietnam are only US $90 -200 US dollars."

Jiang also suggested that the domestic cotton price per ton was higher than the international cotton price of 3000 yuan -4000 yuan, and the appreciation of the Renminbi made the profits of the enterprises very affected.

"We make a calculation, a list of 100 thousand dollars, RMB appreciation of 1% every time, the loss will be more than one thousand yuan."

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< p > < strong > the ultimate way out is to do well the brand < /strong > < /p >.

In the face of difficulties, textile and garment industry will have a way out only by pformation and development. < p >

To this end, Jiang Hui, based on the practical experience of the enterprise, put forward four types of pformation.

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< p > the first is to change the order.

"In the past, China was the largest supplier in the world, and the business was processed according to the design, fabric and accessories supplied by foreign businessmen.

With the shortage of foreign market demand and the rising cost of various production factors, many enterprises begin to pform from OEM to ODM and OBM, and try to produce products of high quality, small batch, short delivery time and high added value.

Jiang Hui pointed out that "for example, Shanghai Federation of technology, from the raw materials recommendation of sweaters to technology, from market research to product design, provide different customized solutions to every customer. For consumers, compared with European brands, they can enjoy good services without spending too much money." Why are they so happy? "< /p >

< p > second is the pformation of < a href= "http://sjfzxm.com/news/index_s.asp > > export market < /a >.

"Europe, America and Japan have been the traditional textile and clothing market in China, accounting for about 45% of China's exports.

However, since the 2008 financial crisis, the three major market demand is not strong, and textile and garment enterprises are actively exploring new markets such as Southeast Asia, Russia, the Middle East and South America.

"According to our statistics, exports of textiles and clothing to ASEAN, Russia and the United Arab Emirates increased by 34.2%, 18.9% and 14.3% respectively last year," Jiang said.

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< p > "third is that powerful enterprises try to go out and invest in factories in Vietnam and Kampuchea.

The fourth is the pformation of sales channels, such as the establishment of brand stores in Russia, Eastern Europe and other countries.

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< p > finally he concluded: "the brand is not very good to do, and an enterprise has to do the brand for about 50 years, or even 100 years.

Italy and France are brand names for hundreds of years.

Whether our enterprises can do well in local businesses and achieve the ultimate goal is a brand. "/p".