Textile industry: Can domestic sales get rid of export difficulties?

Aug 14, 2019

Textile industry: Can domestic sales get rid of export difficulties?

 

   The day before yesterday was the closing day of the International Gifts and Home Goods International Sourcing Fair. In the first to fourth floor of the World Trade Center, there are not many international buyers who come to buy gifts and household goods. However, domestic agents, wholesalers, retailers and ordinary citizens have come a lot. Some gift exporters have told that the current export business is difficult to do, and choosing the domestic market may make the company get out of trouble.


It is a last resort to switch to domestic trade.


Shanghai Zhuji International Trading Co., Ltd. is a private enterprise. In the past, home textile products including bed covers, bed sheets, pillows, pillow covers, etc. were sold 100% overseas. This exhibition, rented four standard booths, the momentum is not small. A woman participating in the company admitted that their company never touched the domestic market in the past, and now it is difficult to do business. It is also a last resort. “Always find a way out.” Beijing Kitchen and Beauty Trading Co., Ltd. is a manufacturer and seller of stainless steel tableware. The company's various stainless steel cutlery with painted ceramic handles are very beautiful. Exhibitors told reporters that their company's tableware can be compared with the similar Korean tableware seen in the domestic market. 90% of the products produced in the past were sold domestically and exported. Since the second half of last year, exports have become more and more difficult, and profit margins have become smaller and smaller. Enterprises always pursue their interests. Since they can't make any money, they are so laborious. The company decided not to export and put all its energy into the domestic market.


Adapting to a strange environment is not easy


For companies that have long been engaged in export trade, it is not an easy task to suddenly enter the domestic market. Some exhibitors believe that interlacing is like a mountain, and it is not good to see people picking up the burden. If you don’t get it, you can’t turn it and you may sprain your waist.


Anhui Hongrun Group is a large-scale enterprise mainly exporting down duvet and other home textile products. According to Yao Handong, the group's exporter, the group's exports accounted for more than 90% of the total sales in the past. This year, the target has been reduced to 85%. Sale in the country. However, I used to be accustomed to foreign trade. It was really black-stained for domestic sales. The rules and unspoken rules were unclear, and I was hitting the wall everywhere. He sighed that the biggest problem in the domestic market is non-standard, such as counterfeiting our brand, shoddy, arrears and triangular debts. The exhibitors of the company were also confused by certain practices in the domestic market. She said that the main purpose of our participation in this exhibition is to find agents from all over the country. Although we have contacted more than a dozen, it is difficult to understand the real situation of these agents because the construction of the domestic credit system has not kept up. If you give the goods to these agents casually, it is very likely that the goods will be sold out, but the goods will not be returned.


Knowing ourselves and knowing each other can get out of the woods


Since the second half of last year, due to the continuous appreciation of the renminbi, rising prices of energy and raw materials, rising labor costs, falling export tax rebate rate, the US subprime mortgage crisis and the sluggish demand in the international market, many domestic enterprises, especially labor-intensive products. Production enterprises export difficulties. In the face of difficulties, companies have made moves, including the switch to the domestic market. Some exhibitors believe that export to domestic sales is one of the tricks to overcome difficulties, but only by clearly understanding themselves and understanding the outside world can we gradually get out of the predicament.


Shanghai Yida Textile Co., Ltd. is an enterprise engaged in the production and export of wool blankets, cotton wool garments and other products. In the face of various difficulties, the company still insists that exports are not relaxed, and exports still account for 100% of all production. Miss Yu, the company's exhibitor, is quite frank. She believes that their company is familiar with their own capabilities and the international market, and has a solution to the difficulties. Therefore, when most companies are difficult to support, their company's export volume and sales profit rate have not declined, and they are full of confidence in the future. It can be seen that export-to-domestic sales is not a panacea for all diseases. The key lies in knowing oneself and knowing each other. Everything starts from reality, not blindly following the trend.


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