Export drops nearly 10%, multiple factors force Sichuan shoe enterprises to transform

“at present, our enterprises are struggling. 1f we do not transform, we will only die, but capital is the biggest bottleneck in the process of transformation.” Xia Weiqiang (pseudonym), who has been in the shoemaking industry for more than ten years, said in an interview yesterday. 1n the face of rising labor and material costs, Xia Weiqiang’s situation is the epitome of the difficult transformation of many small and medium-sized shoe enterprises in Sichuan

“at present, Sichuan shoe enterprises are in a critical period of transformation.” Peng Jun, chairman of Sichuan western shoes capital industry operation Co., Ltd., told reporters yesterday that in order to gain an advantage in the increasingly fierce market competition, Sichuan shoes enterprises must work hard on transformation< According to the statistical data recently released by Chengdu Customs, the export volume of Sichuan's clothing, shoes and boots showed a negative growth from January to May this year, with the export volume of Sichuan's shoes and boots reaching 250 million US dollars, down 9.7%; Exports of clothing and accessories amounted to 380 million US dollars, down 58.6% Jinhua Town, Wuhou District, Chengdu, where Xia Weiqiang’s shoe factory is located. His shoe factory is an enterprise specializing in the production of women’s shoes. All the products are exported, mainly to Asia, Europe and America. There are more than 500 employees in the whole shoe factory “labor costs, management costs and raw material costs are rising, coupled with the appreciation of RMB. Now many companies are having a hard time. ” “With the rising cost, we have to increase the price of our products. However, the increase in the price of our products leads to the reduction of orders, but if we do not increase the price of our products, we will face a loss,” Xia said He said frankly that in the first five months of this year, the export volume of products dropped by 20% year on year. “We are struggling now, and we don’t know how long we can last.” “if the price is lowered and orders are accepted passively, it can only accelerate the death of enterprises.” Xia Weiqiang said that their advantage is to do foreign trade, but not domestic sales. And the domestic market competition is more fierce the difficulty of transformation lies in the lack of funds “at present, Sichuan shoes enterprises are in a critical period of transformation,” Peng Jun, chairman of Sichuan western shoes capital industry operation Co., Ltd., said in an interview yesterday. The curtain of transformation of Sichuan shoes enterprises has just begun. 1n order to survive and develop better, transformation is the inevitable choice of Sichuan shoes enterprises “we are seeking transformation, developing new products with higher added value on the basis of the original, and striving to occupy a base in the high-end market, rather than just stay in the competition in the low-end market.” Xia Weiqiang said. Xia Weiqiang believes that the current channels determine everything. 1f they have sufficient funds, they will open up the sales channels, go beyond the middlemen and directly establish their own sales terminals abroad, so that their company can obtain greater benefits for a long time, it has over relied on the middleman channel of the traditional border trade port to go through the way of border trade, and lacks its own stable customer resources, which has laid a hidden danger for the development of Sichuan shoe industry. Peng Jun said that in terms of market positioning, we should transform from relying on the Russian market to the global market, and in terms of production capacity, we should transform from half assembly line to full assembly line< However, Xia Weiqiang said: "we are in urgent need of funds to tide over the difficulties. 1f we don't have enough money, no matter how good the idea is, it can only be empty talk. "

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