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Learn: since this year, the textile market is like a "roller coaster", so that many textile bosses suffer. After the festival to welcome a wave of warming after the market, the market began to gradually "ebb tide", greatly attenuated.
According to a person in charge of the enterprise, they are doing export orders from Southeast Asia, but recently the customer orders have been cancelled suddenly, the total value is about 1 million yuan.
In this year's market, it is not small, but what is more important is that most of these orders have already been produced in dyeing factories, which are semi-finished products that cannot be withdrawn. As to how to deal with this part of the order, the person in charge said helplessly that he could only make finished products first and sell them slowly. As to when can be sold out truly, still be an unknown quantity!
To make good the capital, the goods began to reappear
The current state of the textile industry chain seems to be very similar to the beginning of the year when work resumed.
The cancellation of orders began to appear, the weaving factory began to reduce the operating rate, but the state of the textile enterprises at the end of the year is obviously not quite the same as the beginning of the year, after all, the end of the year need a lot of money, after finishing processing costs, transport costs, workers' wages, rent... Both of them put forward requirements on the working capital of enterprises.
In order to maintain the normal operation of the enterprise, proper digestion of inventory, active funds has been the only way left. So the dumping, which had been quiet for months, began again, and many of the fabrics were related to recently canceled orders from customers, but the more such orders, the harder it was to sell.
As the Spring Festival approaches, the phenomenon of goods being dumped on the market may become more and more obvious, and the prices of various fabrics or grey fabrics will be hit again. This is obviously not good news for the previous raw material prices and large purchases of textile mills, breakeven or even loss of goods will become very common.
Of course, the current textile market is a roller-coaster ride, which is inseparable from the epidemic and political issues abroad.
The domestic trade order foreground is worrying, collect money or become a problem
In addition to the pressure of inventory, textile enterprises are also facing a major pain is the return of funds, money is not repatriated, can not afford to pay wages, can not afford to buy raw materials, in serious cases will lead to enterprise paralysis.
Today's textile domestic trade market does not have many advantages over the foreign trade market, the state of order reduction, profit is still thin, and even has a growing trend.
Because some traders are already planning to switch from the foreign trade market to the domestic trade, this will intensify the competition in this market. A buyer's market of "supply seriously exceeds demand" is about to take shape, and all textile enterprises may face a situation of "not enough to eat" and various low prices and difficulties in obtaining payment.
Now because of the second outbreak of the epidemic in Europe and other places, the confidence of garment enterprises in stocking up has been hit to a certain extent. Therefore, it is reasonable for garment orders to be cancelled. Enterprises that export fabrics directly can communicate with foreign customers directly and obtain the news of order cancellation in DiYI time. However, textile enterprises that send fabrics to domestic garment factories and export zUI final garments often know about order cancellation only later because of many intermediate links.
Even some domestic garment enterprises will not inform fabric suppliers of the date of DiYI in order to avoid liability for breach of contract, even if they know the last order has been cancelled. But through the later inspection to find a variety of fabric problems, then cancel the order, blamed on the fabric enterprise.
So now it seems that the number of domestic trade orders cancelled is not much, it is likely that the cancellation of the news has not been fully transmitted. In addition, our garment industry, which is highly dependent on exports, cannot compare with previous years in terms of capital when the global economy is sluggish and orders are falling.
Labor costs are rising and profits are shrinking
In the textile industry, not being able to find people is a big headache. Many people have stereotyped ideas about textiles, such as looking down on the textile industry, feeling inferior and unable to work hard.
Therefore, even among the unemployed, there are still many people who are not willing to hire people in textile factories. Some people leave because they are not skilled in their business or work too hard even after they have worked for a few days.
Of course, everything has two sides. In actual production, capital, technology and labor have a certain substitution relationship. When labor costs are relatively low, enterprises are more inclined to choose labor-intensive production technologies to carry out production and reduce costs. With the increase of labor costs, enterprises will be forced to increase investment in research and development and upgrade production lines, and replace labor with capital or technology, so as to reduce costs and improve production efficiency.
In short, under the situation that the overseas epidemic situation has not improved at all, or even is getting worse, the cancellation of terminal clothing orders will be inevitable. Now, it is important for the bosses of spinning enterprises to seek stability and try to avoid excessive losses in the face of orders that have been notified to cancel. Approaching the end of the year, the boss of the spinning enterprise should be more alert to the market dynamics before the year, must not plan for a short time back to the cost of fast, and the loss of some assured orders.
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