The Cost Of Raw Materials Increased By &Nbsp; The Clothing Industry In Shenzhen Is Now Closing Down.

This year, the appreciation of RMB, the rising cost of labor and the rising price of raw materials, especially cotton Under the background of soaring prices and sharp falls, the output value in 2010 reached 150 billion yuan and exported about 15000000000, which has been regarded as one of the largest industries in Shenzhen. Insiders estimate that sixty or seventy of SMEs may not be able to survive the end of the year.

Reporter in Shenzhen Luohu District's famous clothing processing gathering area Liantang, and Buji and other places to see that the original thousands of enterprises are currently only hundreds of families are struggling to support, and which can start normal work has been very few, many enterprises are starting 35 days a month.

In Buji Jihua industrial area, a company has been specializing in foreign trade. OEM The boss of the enterprise told reporters in the empty factory workshop that the biggest difficulty now is the continuous appreciation of the renminbi, and the factories are basically in a state of being afraid to take orders. The only list is to take some temporary urgent and short bills.

Pointing to hundreds of idle sewing machines in the workshop, he told reporters that under normal circumstances, the amount of clothing processing reached the maximum number of hundreds of thousands of pieces per year. Now, from the beginning of the year to now, the total output is less than 5000 pieces. Nearly 1000 workers now have only a few dozen. Even so, the monthly commencement time is less than ten days.

Wang said that such a situation can not be sustained. If circumstances do not change, bankruptcy is only a matter of time.

According to Wang boss, enterprises like them are relatively good, and a large number of other small businesses, in the face of the current environment, are basically dead.

In the Luohu District village, Shenzhen, once famous for its collection of hundreds of large and small garment processing enterprises, it is hard to hear the machine rumbling of the electric sewing machine when the factory starts. Liu Quande, the boss of a local garment processing enterprise, told reporters that only a few factories are doing some piecemeal production. The scene of large-scale processing has gradually disappeared since last year.

He said that there are many reasons for this situation, on the one hand, the appreciation of the renminbi, on the other hand, a significant increase in the cost of labor and the ups and downs of the cost of raw materials.

Liu Quande said that with clothing materials, cotton rose from more than 10 thousand / ton to more than 30 thousand / ton last year. In order to save costs, many garment enterprises chose chemical fiber fabrics as far as possible, and the quality of products dropped sharply, resulting in a large number of products being unsalable. On the other hand, many enterprises are hoarding raw materials at the high price of cotton. With the price of cotton returning to more than 10 thousand / ton from more than 30 thousand / ton this year, many bosses have lost their fortune.

He said that under the above background, many enterprises were hurt and moved to the most critical moment.

As for the industrial transformation, Liu Quande said that small businesses are congenital deficiencies, and some big enterprises are also hard to get back. The success rate of the entire garment industry may be one percent twenty of which can go in that direction.

Shen Yongfang, Secretary General of the Shenzhen garment industry association, said that the annual export volume of clothing in Shenzhen was tens of billions of dollars. This year, it must be only billions of dollars. She said that many enterprises want to transform, but how to turn, many enterprises are very confused.