Excess Capacity Makes The Future Of Processing Mode Uncertain.

Five, the change of fort village is just the corner of changing the garment industry.

Affected by the global market downturn, the rising cost of manpower and the impact of Internet sales, Zhejiang's garment industry has been expanding rapidly from the "high-speed expansion" to the crossroads of "overcapacity" and "high inventory", and the reform of the supply side of the garment industry is imminent.

A farmer's house, 10 sewing machines, at most 20 garment workers, the raw material processing mode of Hangzhou garments started in the late 80s of last century, and the products were mainly exported and exported.

Before and after 2000, with the continuous expansion of the wholesale market in Sijiqing, Hangzhou, "hang Pao dress" quickly occupied the domestic market, and the "low and scattered" processing workshop also flourished.

Among them, Peng Bu Wu fort, seven fort and other villages, because of low rent, convenient pportation, quickly gathered more than 1600 processing points.

At the same time, the number of clothing enterprises in Hangzhou also increased from 1400 in 2005 to 2400 in 2010; clothing employees increased from 140 thousand to about 300000 in 2010.

"Looking back, this process is blind expansion."

Zhang Yi, director general of the chamber of Commerce, thinks that the threshold of clothing processing is low, investment is small and profits are relatively high.

In a short span of five years, a large number of resources flocked to five fort and seven fort to increase garment production more than doubled.

However, the market demand is limited. Around 2012, affected by the global economic downturn and the pformation of the electricity supplier mode, clothing orders began to decline year by year, and the processing workshop was the first to bear the brunt.

Pu Tai, a Sichuan native who has made ten years' costume processing in the five castle, said that the clothing processing enterprises in the village have been reduced from 900 to 500: "before making a dress, we earn 15 yuan and half profit."

At present, we earn up to 8 yuan, and get rid of rent, water and electricity, labor, and almost no profit.

Some factories only have one or two orders a week, making dozens of clothes, so it's too difficult to sustain them. "

"The rapid change of the market makes the industry unprepared."

Shen Suli, chairman of Hangzhou CPPCC Committee and chairman of Xin Chen clothing, explained surplus capacity: "the global economic downturn has reduced the consumption demand of clothing.

The Internet sales mode has depressed the wholesale channel of Sijiqing market.

The reduction of exports has turned a large number of enterprises to domestic sales and intensified domestic competition.

The competitive garment enterprises will naturally become surplus capacity. "

A set of data also shows that the traditional clothing industry is going through the cold winter: in 2014, Hangzhou's clothing enterprises above Designated Size finished sales value of 28 billion 500 million yuan, down 1.35% year-on-year, the first time negative growth occurred.

In 2015, the sales value of clothing enterprises in Hangzhou dropped by 0.77% again.

At the same time, according to the statistics of the Hangzhou Municipal Commission of letters, the total profit of garment enterprises has dropped by 39.65%, and there has been a 24% loss.

The extensive clothing manufacturing mode has obviously not adapted to the green and efficient development requirements, and eliminating backward production capacity has become the trend of the times.

In 2015,

It is proposed to create seven trillion industries and one of the fashion industries.

How to revitalize the garment manufacturing industry and promote information design and intelligent production has become a long-term goal.

In Hangzhou, with the "low and small" processing workshop gradually withdraw from competition, Xiaoshan, Yuhang and other places have produced new clothing processing cluster.

Different from the previous "fighting for each other", the new cluster has the advantages of resources, functions, services, radiation effects and so on, which is more suitable for the development of small and medium-sized enterprises.

"The way of processing materials has gone to the top, and it will never change."

Pu Tai elder sister told reporters that she was planning to move to Yuhang with her colleagues to gather their respective advantages and strive for more Taobao orders: "the winter wear design has been obtained, so long as the quality keeps up, and more do the" burst money ", the business will definitely get better in the second half of the year.

"Integration of small enterprises eliminated, the overall image of Zhejiang's clothing industry is also very beneficial."

Shen Suli supported the "alliance mode" to enhance competitiveness: "in the past, small businesses were reluctant to work hard on technology, design and brand, and were keen to grab the market and run sales, so that Zhejiang clothing became the pronoun of the middle and low grade.

Now the market forces enterprises to improve their design and quality, so that the best brand can be honed.

3, labor costs have increased and international competitiveness has declined. How does labor-intensive industries maintain profitability? Unlike the five fort's workshop processing points, the Hangzhou Joe's clothing industry has begun to take advantage of clustering.

Over a large scale

With H&M, Zara, CABI and other international brands to achieve long-term cooperation to achieve the growth of foreign trade orders against the market.

However, the increase of human cost has made the enterprises feel a small profit.

"In 2015, the company's foreign trade sales increased from seventy million to one hundred million, with an annual growth rate of around 30%.

But profit is hard to grow. "

Wu Zhengqian, a garment general manager, told Zhejiang online reporters that the profit margin of foreign trade garment orders is only 5%: "in order to compete with the manufacturing industry in Southeast Asia, we can only abandon profits and stabilize our customers.

With the continuous increase of wage costs, the advantages of international competition are getting smaller and smaller. "

According to the statistics of Qiao Si street, in 2005, the cost of human resources in the industry of Joe's clothing industry was 2500 yuan per person, 4000 yuan in 2010, and 7000 yuan per person in 2015.

Excessive expansion of production capacity has increased demand for garment workers and accelerated wage increases.

In the industrial gathering area, advertisements for many years can be seen everywhere, and many of them are already yellowed.

The difficulty of recruiting workers in clothing enterprises has become a common phenomenon.

"The cost of living in Hangzhou is very high. Even if you earn 6000 yuan a month, you will not be able to save much by the end of the year."

Xiao Wang, a 90 year old lathe worker from Hunan, told reporters that he and his girlfriend planned to go back to their hometown to look for jobs after the year: "maybe another industry, maybe a small shop."