Yulin textile and clothing exports: half sea water and half flames

Recently, reporters learned from Yulin Customs that this year Yulin City’s textile and clothing exports were 290 million yuan, a year-on-year increase of 66.3%, accounting for 22.7% of Yulin’s total foreign trade export value during the same period. %, accounting for an increase of 6.6 percentage points compared with the same period last year. Facing the challenges in the foreign environment, why can the export volume of Yulin’s textile and garment industry keep rising? In the face of low-cost competition from Southeast Asian countries, how can Yulin’s textile industry become stronger? The reporter recently interviewed Yulin Customs and some enterprises, trying to find out Among the answers.

Work non-stop to make orders

On August 30, the reporter came to Nanda Fashion Knitting Co., Ltd. (Nanda Company for short) and saw that in the modern computer motor workshop, the machines were rumbling, and the computer motors arranged in an orderly manner were busy producing at full capacity.

“In order to complete orders on time and with high quality, the workshop has started a 24-hour high-speed operation mode.” Qiu Donghua, Nanda Company’s workshop production supervisor, said that since this year, the number of production pieces has increased by 25%. Currently, Nanda Company’s The workshop can produce more than 10,000 products every day. Due to the surge in orders, the company needs to outsource some orders for processing.

In the transportation workshop, the reporter saw boxes of packed clothing products being transferred in an orderly manner to trucks waiting at the export port. “This order exported more than 10,000 knitted dresses and knitted sweaters to the United States, with a value of about US$100,000.” Su Chaohua, a customs declarer at Nanda Company, told reporters that the company mainly processes and produces needle-combed clothing and sweaters. All products are exported to Europe, America, Southeast Asia, Australia and other countries and regions. Orders are pouring in. As of the end of July, the company has produced 3.6 million pieces of export goods with a total value of more than 17 million US dollars.

It is understood that with the gradual recovery of the European and American markets, consumer demand is growing day by day. Affected by the new crown epidemic, Southeast Asian textile and garment companies have suspended production, and the phenomenon of European and American textile and garment orders has been transferred, resulting in a large number of orders returning to China. Enterprises orders increased significantly.

Exports need to cope with the challenge of cost pressure

Textile and apparel orders have skyrocketed. However, accompanied by unfavorable factors such as high freight prices and rising raw material prices, textile and apparel companies that seem to be booming are actually facing difficulties in exporting.

As the orders received by enterprises continue to increase, the output of goods also continues to increase. The shortage of containers causes enterprises to stay longer in the export process. “The product is not finished until it is produced and delivered to the customer.” General Manager Kong Desheng said that, like most foreign trade companies, Nanda Company is also facing the pressure of backlog of goods.

The cost pressure caused by high sea freight is the main problem restricting exports. Kong Desheng did some calculations and found that sea freight has increased from a few thousand US dollars to more than 10,000 US dollars, and the profit margin of each order of goods has been compressed by about 10%. Some customers who are willing to bear their own shipping costs have lowered the price of goods. The unit price of this year’s products is generally lower. “So far this year, we have exported 3.6 million pieces of goods, while only 2.8 million pieces of goods were exported in the same period last year. However, this year The profit is lower than last year!” Kong Desheng said.

“After Yulin Customs learned about the difficulties of export enterprises, it used the ‘one enterprise, one policy’ to provide precise assistance and implement customs clearance facilitation measures, took the initiative to conduct in-depth research on enterprises, and took effective measures to help enterprises get out of the predicament.” Yulin Customs Lu Xiangrong, a cadre of the Supervision Section, said that in response to the situation where enterprises’ processing trade finished products may not be able to re-ship out of the country as scheduled, enterprises should be guided in advance to apply for extensions through the currently implemented manual. Regularly collect early warning information on technical trade measures, pay close attention to the stocking needs of European and American retailers during peak sales seasons, and push risk early warning information to enterprises in a timely manner. Guide enterprises to use convenient policies such as centralized tax collection and self-service printing of certificates of origin, and vigorously promote the “intelligent review” function of the export origin system. Yulin Customs took the initiative to meet the needs of enterprises and quickly handled customs clearance procedures for enterprises, reducing the customs clearance time by 20%.

Customs recommends that textile and garment export enterprises should pay attention to updated trade policies and technical trade measures in the export market in a timely manner, benchmark product standards in a timely manner, and beware of affecting product access after relevant new foreign regulations take effect. At the same time, we should actively explore multiple regional markets to avoid excessive concentration in the export market and prevent changes in single market policies from causing greater trade risks.

Seize opportunities and retain business opportunities

The return of European and American textile and apparel orders to China is the main reason for the surge in export orders this year. How to turn temporary customers into long-term customers and polish the “golden” signboard is the direction of Yulin’s textile and apparel export companies.

Kong Desheng said: “This year, the company has received many orders from Southeast Asian textile and apparel companies.” Nanda Company has been involved in foreign trade for many years, and it is very clear that delivering orders on time, quality and quantity is the prerequisite for retaining more resources. In the future, Nanda Company will actively implement related matters to improve production capacity and production efficiency. It is expected that by the end of this year, the company will build new factories and develop new production lines to solve the problem of shortage of workers and meet the production needs of orders.

Compared with the advantage of low labor costs in Southeast Asia, the advantages of domestic textile and clothing�� lies in the professionalism of fabrics and product production. Kong Desheng said that after receiving the order, the company focused on ensuring that the productionquality was higher than the customer’s needs. At the same time, we actively understand the changes in the market situation, innovate to cater to new market trends, and launch new designs with higher technical content for customers to choose from, thereby enhancing customer stickiness. Based on the requirements of foreign high-end customers, the company accelerates the acquisition of relevant technology patent certificates and enhances the added value of its products.

Industry insiders say that the coexistence of crises and opportunities has accelerated the integration of the textile and apparel industry. Only enterprises with rich industrial chain resources, efficient management capabilities and flexible response measures can occupy a larger market share.

AAA

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