Pearl River Delta Shoe Enterprises Autumn Winter Orders Continue To Raise Prices, Overseas Buyers Busy Picking Goods

In order to find cheaper manufacturers, some overseas buyers skipped Chinese traders and went directly to the world's most important shoe product processing base in Guangdong to find the shoes factory order. But after arriving at the scene, it was discovered that almost all factories had been raising prices recently, which was different from the statistics they saw.

According to the latest statistics of Guangzhou customs, Guangdong exported shoes 1 billion 320 million pairs in 2010 1~4, worth 3 billion 430 million US dollars, compared with the same period last year (the same below) increased by 18.5% and 9.9% respectively, the average price was 2.6 US dollars per pair, down 7.3%. Statistics show that the average export price began to decline from the second half of 2009. The average export price in April this year was 2.3 US dollars per pair, down 5.5% compared with the same period last year, and the average export price was the lowest since 2009.

"There may be some low price orders in the first few months, but now it will not work. In the financial crisis, there are a number of shoe factories falling down. At present, most of the shoe factories in Dongguan are full of orders. In the case of production shortage, we are very tough to raise prices to purchasers, especially from May to new orders this autumn and winter. We raised the price by 10%~20%. Because many of our new styles are not available to others, and buyers are unable to find other suitable manufacturers to replace them. LAN Xuan Pu accepted the first Financial Daily yesterday when he said that he was optimistic about the recovery of the global shoe market. He resigned as the Secretary General of the footwear association of Asia. In February, he switched to a shoe manufacturer in Guangdong and became a manager directly.

As for the first 4 months of this year, the average export price of Guangdong shoes was worse than that of the same period last year. He thought that because of the export slump of the shoe industry in the first two years, especially the sharp reduction in export orders last year, shoe companies had to take a low price strategy to catch up, and the price war intensified. Although the export orders increased gradually in the second half of last year, many of them were orders placed at low prices. Because of the trade cycle and seasonal products of shoes, many of the shoe products exported to 1~4 last year were still in the form of last year's orders. Moreover, the statistics of Shanghai customs have lagged behind.

The export shoe enterprises interviewed by the author generally reflected that after many consecutive months of export low tide in the first half of last year, many enterprises were unable to maintain normal production operation due to sharp reduction in orders. They were forced to take a low price strategy to grab orders. Even the African low price orders which had always been "scorn" were won over. The average price of Guangdong's rubber or plastic shoes exported to Africa was even less than 1 US dollars.

Dongguan Zhenwei shoes industry Co., Ltd., Chen Qihua, told the writer yesterday that shoe manufacturers had been unable to see the prospect of reducing orders due to the reduction of orders since last year. They have already passed the shoe factory business to others, and are looking for other businesses whose profits are slightly higher.

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However, as the global economy recovers and buyers continue to replenish inventory, the days of shoe enterprises' hard times are gradually over. Many shoe enterprises have begun to attach importance to improving the added value of products, but not by price. And the shoe companies surveyed said they expect exports to improve in May.

Li Peng, chairman of concavo convex international economic planning Co., Ltd., told the newspaper that the current low price purchasers are not able to make a single purchase. Now they are back to the two-way choice between supply and demand. The cost is rising rapidly. Many factories are afraid to pick up the cheap "salted fish list", but strive for some good profits by strengthening the design and quality. According to his investigation, the wages of shoe factory workers in the Pearl River Delta have risen by more than 10% this year. At present, the average monthly wage of footwear workers in Dongguan is over 1500 yuan, and some factories even give more than 2000 yuan.

With the increasing number of world trade frictions, if Guangdong shoe enterprises continue to expand at a low price, they will continue to run into a wall. This is also a problem that Chinese shoe companies must consider.

At present, Argentina, Brazil, Canada, Turkey and other countries compete for trade remedy measures relative to Chinese shoes, while the EU has been constantly entangled in the anti-dumping lawsuit against leather shoes and Chinese shoe enterprises. Not only that, the EU has also intensified its control over product quality. The Guangzhou customs, based on the statistics of the increase in prices of shoe products exported to China, also reminds enterprises to get rid of low prices and avoid trade risks through quality and design.

Wang Hailong, a spokesman for AOKANG company, told reporters yesterday that since the appeal was dismissed by the European Court of justice, AOKANG has filed a complaint against leather shoes to the EU high court again, vowing to take the lawsuit to the end. At the same time, AOKANG is also avoiding the increasing trade barriers in many ways. The R & D Center specially established in Dongguan is continuously improving the added value of products. In addition, new markets are constantly opened up to avoid risks.