This year's winter prices are higher

The price of clothing materials (cotton) soaring since the second half of last year has already drastically dipped, but reporters visited Beijing supermarkets and found that the price of winter clothing this year is still higher.

The price boom is sweeping the market and the winter is approaching. Many people in Beijing are prepared to purchase new coats, but whether they are in major shopping malls such as New World, Cuiwei Department Store or Xindong'an Market, or the zoo wholesale market, the sky blue market, or the street market. Small business hawkers, winter prices have risen to varying degrees.

The reporters saw in major department stores that the prices of various brands of winter clothes went up, and a cotton coat was randomly drawn. The price was four digits. It was very difficult to find a winter garment that was less than a thousand dollars. Not only winter clothing, autumn prices are also rising, the reporter saw in the mall, teenie weenie2011 autumn paragraph long-sleeved t-shirt price 499 yuan, 5 discount after 249 yuan, and last year, similar to the original style of clothes only 258 yuan.

In Beijing's wholesale market, known for its high quality and low price, the price of cotton clothing has risen by at least 20% compared with last year. Many merchants who come to the bargain shop have seen prices shook their heads. Similarly, reporters saw in the Muxi Garden clothing wholesale market that due to the average price increase of 2-3 yuan per meter of jeans for jeans produced this year, the wholesale price of jeans rose by 5% over the same period of last year.

The cost has risen sharply. The reporter has inquired about professional websites and learned that since October 2010, the price of cotton has been hailed as a tribute. By March this year, domestic cotton prices have exceeded the mark of 30,000 yuan/ton, reaching the highest level in ten years. value. However, domestic cotton prices have been falling all the way since then and they have fallen to 19,000 yuan/ton, a drop of up to 44%.

According to industry insiders, many textile companies are still in the destocking stage. The main reason is that last year's cotton prices rose sharply. Cotton spinning companies hoarded cotton in large numbers and expanded production capacity. This year's cotton prices have fallen sharply, far exceeding the general expectations of manufacturers. The cotton bought back increased production costs and led to higher prices.

Employment costs have also directly led to a rise in apparel prices. The reporter saw many booths in the Xidan National World, Sky Blue and other markets posting notices on recruiting shopping guides and employees. A representative from a manufacturer said: “This year’s staff’s salary and benefits have also increased a lot. If the asking price is high, the asking price will be low and it will be taken away by other people within a few days. Although the newcomers will be cheap but will not be able to do anything, they will not be able to raise their wages for several days. This year has gone up by several hundred, but it still lacks manpower.”

The supplier supply system has also led to higher costs for agents. According to reports, most down apparel manufacturers and agents are no longer adopting a cooperation model of “supply first and then repay funds”, which increases the operating costs of agents. The added costs of manufacturers and agents are eventually superimposed on the terminal sales. Because there are fewer terminal channels for domestic sales in China, sales agents also have to look at the faces of the malls, which also contributes to the price.

Will prices continue to rise next year?

According to Liu Hui, chief consultant of Beijing Zhaohan Zero Business Management Consulting Co., Ltd., it is theoretically expected that he will not experience the same price increase this year. Considering the cost factor, the prices of autumn and winter clothes are also rising. At the same time, the high-priced stocks purchased by garment companies are also being digested. Now the price of raw materials such as cotton has basically stabilized or even dropped sharply, and there will not be large fluctuations. On the other hand, in the labor force, as manufacturers have shifted their recruitment targets to areas where cheap labor is concentrated, employment has been eased, and labor costs have not increased further. "This year's winter market has gone up too quickly. It will be a correction process in the next year or two," said Liu Hui.

Experts in the industry stated that although there is a correction process, the rising costs of raw materials, labor, logistics, warehousing, advertising, channel construction, shop rental, and utilities are irreversible facts. The increase in rigid costs makes clothing cheaper and cheaper. Coming to an end.

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