The Garment Industry Is In A Crisis Of Rising Costs.

Thailand Garment Industry Association Chairman Su Ji said recently that the more than 10 garment factories were unable to deliver the goods on time due to floods caused by the Kun and Kun government, resulting in transport barriers and labor stoppage. According to preliminary estimates, the above problems will increase the cost of the factory by about 20%. The association is investigating other affected areas in order to provide assistance to the government.

The clothing industry association predicts that next year's clothing will be ready for next year. Exit The double impact of the strong baht and the rising cost of raw materials will lead to a negative growth of 10% in 2011 and a total export value of about US $3 billion, close to the total export value of the US economic crisis in 2008. Since the beginning of this year, due to the impact of natural disasters, the output of major cotton producing countries such as the United States, Africa, China and Africa has decreased and prices have been rising. This will cause serious blow to cotton imports and exports.

In addition, the main export of the garment industry market There are still risk factors in the economy. The United States is the main destination for exporting garments and accounts for 35% of its export market. But the main export markets like the United States and the European Union still face the problem of high unemployment, which affects the purchasing power of their consumers. At the same time, after the outbreak of the financial crisis, many countries in Europe and the United States began to focus on saving expenditure and using domestic products instead of imports. This undoubtedly increased the difficulty of raising prices for exporters, and the competition in the international market became more and more intense. Over the years, importers were buying clothes and other low value-added products at a price tag.

Tsuji believes that the Thai government should not only consider the strong exchange rate of the baht, and that operators will benefit from the reduction in the import price of raw materials. At the same time, we should also consider the development of unfavorable clothing industries such as passive export prices.

The association predicted that export growth in 2010 will be about 10%, and the total export value will be 3 billion 200 million ~33 billion dollars. In the first 9 months of 2010, the export of garment exports increased by 6.5% and the total value was 2 billion 377 million dollars. The relevant people called on the government to help monitor costs and set up direct supervision units to provide data for overseas operators to promote the development of garment industry.