Dongguan Shoe Factory Eliminated More Than 30% In Four Years

With the pformation of shoe industry to high-end, Dongguan's high-end leather traders doubled compared with two years ago.

Dongguan shoe factory eliminated more than 30% in four years, and promoted the trade of high-end leather.

"2009 to 2012

Over 30% shoe companies have been eliminated, sometimes even more than 100 in one month, but they are all low-end manufacturing enterprises.

Yesterday, an insider interviewed by Yangcheng Evening News reporter revealed that under the strong impact, the footwear industry in Dongguan is upgrading rapidly to the high-end. In 2013, although the export volume of Dongguan footwear industry has been reduced, the unit price has been raised. The final export volume is only 0.4% lower than that in 2012, and the profit is basically flat.

Upstream and downstream to high-end pfer

Wang Shengpei, President of Dongguan leather and footwear industry association, said that most of the enterprises that were eliminated were low-end manufacturing enterprises. The real high-end enterprises were also affected, but the impact was relatively small.

The reduction in the export volume of footwear industry is mainly caused by two main factors, namely, excessive market inventory and enterprise pfer.

Restriction.

In order to change the income impact caused by the decline in exports, Dongguan's footwear industry has shifted from low end to high end.

"At present, the number of high-end leather traders has doubled over the past two years, accounting for about 70% of the total."

Liu Guomin, vice president of Dongguan footwear materials industry association, said that the upgrading of Dongguan shoe material industry is also part of the upgrading of Dongguan's footwear industry chain.

Liu Guomin, a Fujian Putian man who came to Dongguan to do business in 1994, said that the Dongguan footwear industry had just started, and the trade in raw materials, such as leather, which was matched with shoemaking, had not yet formed a scale.

A group of Fujian businessmen, including himself, worked with some of the Dongguan businessmen in the trade of leather and other shoe materials.

Due to the limited output of domestic leather and so on, they began to import leather from the cattle producing areas of the United States, Argentina and Australia, and gradually became a part of the complete industrial chain of Dongguan footwear industry.

Collusion between industry chains

Fang Peiji, President of Dongguan footwear industry association, told reporters that in the years of common development, the shoe industry chain between the upstream and downstream, the same industry has gradually formed a whole, the development of the group.

"First, we need not say that R & D and the introduction of new processes require huge capital links. It is difficult to pay for the purchase of raw materials only from low-end raw materials to high-end raw materials. Fortunately, the upstream and downstream enterprises were well coordinated."

Chen, who is responsible for footwear enterprises, revealed that, when they were in the most difficult situation, their material supplier giant Niu Leather Co., Ltd. also took the initiative to extend their raw material refund time from 30 days to 60 days.

Liu Guomin said that in the long run, the industry chain upstream and downstream enterprises can maintain good mutual trust, which is the basis for cooperation.