High raw materials, shoe clothing business difficult to survive

"Shoes are even higher than the previous price even if they are discounted."

The price increase of shoe materials this year is still relatively reasonable, and it is expected that prices will continue to increase next year.

The prices of shoes in the mall are also much higher, and the beauty who loves shopping will find that this year's shoes are also expensive.

In Tianhong Shopping Mall's Tianmeiyi counter, a pair of brown colored boots, the price is 969 yuan. Sales staff told reporters that the price of coffee booties like this was generally between 600 and 800 yuan.

The same kind of boots was used to make a 15% discount in Nanhai’s Haiya and 823 yuan afterwards. This means that the discounted price is almost the same as before.

"This year, leather has risen by about 15%, medicine has risen by 10%, and the price of wrapping paper has gone far beyond 15%. The cost of light costs for a pair of shoes has risen by 10% to 15%. No labor costs have been added." Aokang Fan Man, general manager of Qianshi Manufacturing Center, said that after the increase in manpower cost, Aokang could not resist the price increase. The unit price per pair of shoes was raised by 10%, and the manpower cost was absorbed.

The increase in leather prices between 3% and 5% does not appear to have benefited from the increase in the price of shoes, and how does the upstream shoe supplier see this increase in shoe prices? A Bangladeshi, he took a Chinese name called Wang Di. Di Wang Leather Co., Ltd. was operated in Dongguan as chairman.

Wang Di told reporters that he is mainly engaged in import leather, imported from Bangladesh, Italy, Australia, South Korea more than 20 countries, he believes that the current price increase in the shoe market is a reasonable range.

Wang Di took sheepskin as an example. Two years ago, when the financial crisis had not yet arrived, the price of sheepskin was 12 yuan/m2. During the financial crisis, the price of sheepskin fell to 8 to 9 yuan/m2. This year, the price of sheepskin has continued to rise. 11 yuan/m2, “in a reasonable rise in prices, I predict that the market will continue to increase prices next year.”

Dongguan Dongguan Tan Heli, manager of Hao Square Materials Square, has dealt with these shoe owners all day. He also agrees with Wang Di’s view of the shoe market.

Tan Qinli said: "The price change is still within an acceptable range. This year, the increase in leather prices has been fluctuating between 3% and 5%. Last year, the price of raw materials for footwear has been going down. For the skin, the previous ten yuan / M2, last year dropped to 4 ~ 5 yuan / m2, on such a loss price was sold at the time, this year is equal to the price recovery period."

“This year, the footwear market is optimistic. The amount of import and export volume and domestic sales have increased, but there is still a gap compared to 2007.” Tan Qinli said that at present, merchants have business. And he believes that the reason for the market price increase is that due to the better use of raw materials for various types of shoes in the previous two years, prices have increased.

There is a “menu cost” in economics. The wages of meat, vegetables, oil, and cooks in restaurants are rising, and the price of vegetables is also going up. But changing menus also requires costs. Changing prices may cause consumers to adapt, so restaurants may Will also maintain the original price. Businesses will generally rise at a larger rate, and will only choose to change menus after rising for a period of time. This is the “menu cost”.

The cost of the menu is often the business, when the price of raw materials rises from a quiet rise to a big rise, the price is affected not only by the citizens surrounded by consumer goods, but also many businesses in the industry chain. Behind the increase in prices, business profits have not only increased but have declined.

So, who has earned this rising price space? From the perspective of “food, clothing, housing and transportation”, this newspaper focuses on the status of the merchants behind the increase in prices, and understands the game groups in which prices rise.

Clothing: "High cotton prices, brand apparel Qi Qi price"

The fabric trading market used to have monthly sales, but now it requires cash transactions. The general profit of the textile industry is about 8% to 10%. However, after the customer bears the corresponding price increase cost, the profit will be reduced to 3%. .

Cloth traders have demanded that cash transactions now dominate the major shopping malls in Dongguan for fall/winter clothing, thick coats, thin autumn clothes, and even down jackets. Last year in the mall can find suitable wear in Dongguan, about 300 yuan thin down jacket, but this year to see similar clothing, prices have risen to about 500 yuan, some brand apparel prices higher. The reporter learned from a number of brand counters, such as ONLY this autumn and winter equipment prices rose 50 to 100 yuan per piece, VEROMODA clothes prices in the 100 to 150 yuan, the price range of some other brand jackets are also around 10% .

The rising market price is a foregone conclusion. What is the current status of the suppliers in the upper garment industry chain?

This November, at Humen International Cloth Trading Center in Dongguan City, you can see some businesses that are reluctant to do business. They are not closed down, but only temporarily stop business. What are the reasons?

"A price of one day, part of the first suspension without orders, so that prices stabilize and do. Before the beginning of November, the peak of cotton 12,000 yuan / ton, when we here are 15% to 20% of the business, choose not to open for the time being, Or do it selectively.” Huang Yihong, the person in charge of Dongguan Humen International Cloth Trading Center, said that in the past, most of the methods used to do business in this market were monthly settlements, and none of the monthly settlement methods had been done. They all required cash transactions.

The price of cotton has risen by nearly 50% in half a year. Since March this year, the price of raw materials for garments has been stubbornly high. The price of cotton rose by 25% in half a year, which directly affected the textile industry, the garment industry.

Huang Yihong said that since the beginning of October last year, cotton has been gradually showing upward momentum. In the first half of the year, the market price of secondary cotton was about 17,000 yuan/ton, and it was only 14,000 yuan/ton at the beginning of the year, and rose by 25% in half a year.

The price of cotton yarn was about 28,000 to 30,000 yuan per ton in August this year and it is now 48,000 yuan per ton; the Cotton Fabric was about 8.8 to 9.2 yuan per meter before, and the peak period rose to about 16 yuan per meter in early November. Now Slightly lower, 15.5 yuan/meter. According to Ouyang Dudun, owner of London Textile Trade Co., Ltd., from the beginning of last October to the first half of this year, the prices of different types of cotton have reached 40% to 50%.

Apparel and textile industry profit is only about 3%. Cai Youzong, general manager of Dachangbuye Textile Co., Ltd., said that prices have risen and they have also complained to journalists. "In addition to fabrics, zippers, hardware, and processing fees are all increasing. The business is very difficult to do. Many orders are at a loss."

Cai Youzong told reporters that there was a batch of orders signed with Wen Chung and the signing order was October 30. The day was 15 yuan/m dyed cloth. When the next day, the price of fabrics rose by 1.6. Yuan, which has become 16.6 yuan/m, and was not available at that time, so after five days, the price rose to 17.5 yuan/m. "This means that my order is at a loss."

With this experience, Cai Youzong did not dare to sign with the customer afterwards. He changed all, first quoted, and then signed the bill. “We pass on the pressure to the guests, but we also take part in ourselves. For example, if the price goes up a bit, the customer will discuss half of the cost with us. Based on long-term maintenance of the customer's considerations, we generally agree to share the cost of price increases.” Cai Youzong told The reporter, for example, his current profit is about 8% to 10%, and after the customer takes it, the profit will be reduced to 3%.

Not long ago, cotton stopped its frantic rise. How did the clothing material suppliers regard this cotton price increase? “Cotton stopped price hike, but at the same time price cuts have stopped because there are no stocks in the cotton spinning mills and prices cannot go down. New cotton will not be able to come out in April and May next year and the market gap will be big. The cotton price in the market will certainly go up, too. Do not rule out the Wenzhou people's hype. They control the upper reaches of the industrial chain, the acquisition, hoarding cotton." According to the fabricator's idea, according to the fabricator's idea, the price is definitely the lower the better, the price can be low to do it up, If we can't do it, we won't make any money.

The pressure brought by cotton prices to the textile industry is directly reflected in the home furnishing.

Sunshine Holiday South Street Jiayi curtain owner Mr. Ma told reporters that this month basically all fabrics rose by 20%. "Some are still higher. The goods that are getting $20 at the beginning of the month are now worth 28 yuan." The reporter found that the price increase of fabrics has generally impacted the turnover of the curtain industry by 20%. Mr. Ma's monthly sales of 30,000 yuan have shrunk by 6,000 yuan.

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