The financial crisis has swept the world, and China's foreign trade exports have also been severely affected. Due to the decline in foreign demand, some apparel export companies have experienced a decrease in orders or even no orders. In order to survive, they naturally turned to the domestic market to look for opportunities, but this is not an overnight success that can be easily achieved. How to balance foreign trade and domestic sales? Is it walking on two legs, or continue to adhere to foreign trade? If there is a transformation, what are the pros and cons?
To help the textile industry get out of the predicament, the state has recently introduced a number of measures including the "Textile Industry Adjustment and Revitalization Plan", and the export tax rebate rate for textiles and clothing has been adjusted repeatedly in just a few months, which is fully It reflects the country's strong support for the industry. At the same time, in order to resist the impact of the financial crisis on the export market and expand the market, some foreign trade apparel companies have turned their attention to the domestic market. Such a transformation is indeed admirable, but transformation is not an easy task, and there are many contradictions in the transformation, which also make the enterprise pay hard.
Textile and apparel industry's export momentum plummets
According to the latest statistics from the Ministry of Industry and Information Technology, the production of the textile industry resumed faster from January to February this year, but the export situation is still grim. Statistics show that from January to February, the added value of textile enterprises above designated size increased by 5.8% year-on-year, of which an increase of 16.7% in February; export delivery value decreased by 8.1%, down 18.2 percentage points year-on-year. According to customs statistics, the export of textile yarns, fabrics and products in the first two months of this year was US $ 7.29 billion, a year-on-year decrease of 20.6%; the export of apparel and clothing accessories was US $ 14.62 billion, a year-on-year decrease of 11%. According to a survey by the China National Textile and Apparel Council, nearly half of the export-oriented apparel companies' orders decreased by about 30% year-on-year. Due to fierce competition, some apparel companies in the Pearl River Delta region stopped production and transferred production, and the Yangtze River Delta region took over some of the excess capacity transferred from Guangdong.
"The domestic market has been the first driving force for the development of China's textile industry for many years. The proportion of domestic sales of enterprises above the designated size has increased from 67% in 2000 to 77% in 2008. The proportion of the domestic demand market in 2009 will be further expanded. It is a reliable and stable foundation for the development of the textile industry, "said Chen Shujin, vice president of China Textile Industry Association.
Foreign trade enterprises actively "test water" domestic market
Known as "China's No. 1 Exhibition", the Canton Fair has been "facing overseas" for many years, but the 105th Canton Fair held this spring was opened to the country for the first time. The Department of Commerce and Trade Services of the Ministry of Commerce will issue a notice inviting domestic buyers who have the need to purchase export commodities to participate in the docking negotiations with foreign trade enterprises.
According to the survey statistics of relevant departments, about 60% of the enterprises participating in the 104th Canton Fair last fall chose the domestic market. At the 105th Canton Fair, at least 70% of export enterprises put domestic sales first.
People in the industry believe that today, with the expansion of domestic demand, it is necessary for the Canton Fair to open up to mainland buyers. It is necessary to establish the "Canton Fair" as a cooperative platform that not only sells goods externally, but also brings the excess capacity of foreign trade enterprises into the domestic market. Relevant people believe that allowing mainland buyers to participate in the Canton Fair has many advantages: First, it is beneficial to resell some exported products to the domestic market to meet the needs of mainland consumers; Second, it can expand the supply and sales of exported products, so that these export product manufacturers can do further Big and strong.
When I visited the "Foreign Trade Collection" held by the Beijing Municipal Bureau of Commerce a few days ago, I found that many commodities were not seen in the domestic market before. Many stalls were full of customers. Sometimes, some textile and apparel stalls are not crowded with customers. These clothing and home textile products are not only cheap, but also of good quality, which is favored by consumers. "Foreign Trade Collection" in the 27 days of the opening of Beijing Jinyuan Lufthansa Shopping Center and the Blue Harbor International Commercial Street, the scene was hot and the transactions were active. According to the statistics of the Beijing Municipal Bureau of Commerce, the sales of 118 companies participating in the exhibition reached 21.17 million yuan, and 1002 domestic and foreign trade negotiations were held.
The owner of a home textile foreign trade enterprise from Shandong told reporters: "Initially coming to participate in this 'foreign trade collection' was just to give it a try, and brought some samples, but I didn't expect it to be so hot, consumers and businesses agree. And accept, the samples will be sold out within half a day, we had to readjust the goods from the factory, and we have to buy every day. Seeing such a scene, we suddenly had confidence in developing the domestic market. "
Some foreign trade companies have a "spread" attitude towards "export to domestic sales". "The difficulty of doing foreign trade and the financial crisis are the primary reasons for the transformation of foreign trade enterprises. Coupled with the size of the domestic market and the increasing level of urbanization, low-end products can also be spread to the countryside, so there is no reason not to take a slice. "A boss from Guangdong said.
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