Grab the goods! Traffic jam in Keqiao Textile market again

"It's really been a long time." Ruan Xiaohan issued such a feeling to the reporter, "Keqiao Textile City has almost two years without a traffic jam, now every afternoon traffic jam, the parking lot is full." Ruan Xiaohan is Ke Qiao curtain production factory boss, almost every day he will go to textile city procurement, take goods.

At the time of the exchange, Zhao was on her way to visit clients in her car. After the Spring Festival, she was visibly getting busier every day and now spends almost the entire day responding to business messages. Zhao Li is a salesman of Zhejiang Yi Yarn Textile Technology Co., LTD., she told the reporter, in previous years, April and May is the peak season for fabric ordering, this year after the Spring Festival, the order has increased linearly, now the demand surge, the production schedule has been scheduled to April and May, the current order is in disorder, can only first follow the company's VIP customer demand production.

The warmth of the market, from upstream to downstream, the industrial chain in the return of sharing heat.

Keqiao Textile City boom in February:

There was a rush for goods

As the largest fabric market in Asia, China Textile City deals in more than 50,000 kinds of fabrics, and its textiles are exported to 192 countries and regions. Before and after New Year's Day, Keqiao Textile City presents two completely different scenes.

Xie Junjie told reporters, New Year's Day before the market, the chill is obvious. Because at that time, affected by the epidemic, the goods could not be sent out. Even if they could be sent out, the customers may not receive the goods for various reasons, and the offline sales department is rarely seen to purchase people.

Xie Junjie is the boss of Shaoxing Ziya Textile Co., LTD., the company's main curtain, gauze curtain wholesale, retail, online house customization. Before January, the daily turnover of its online stores was only over 20,000 yuan. It obviously started on January 10th, when the turnover suddenly increased to over 50,000 yuan. In these days, the daily revenue could reach 100,000 yuan.

After the Spring Festival, the most obvious feature of the market is: shortage of goods. Ruan Xiaohan told reporters that in February almost all in short, the most tight time, he waited for 10 days to wait for the goods. In early February, he visited a fabric supplier's warehouse, where there were 1,000 to 2,000 pieces of fabric in stock. A week later, there were fewer than 100 pieces. Fabric factory business staff told reporters that February got higher wages than any month last year.

The first part of February is dominated by looting. One day in mid-February, Mr. Xie arrived at the company at 8:30 a.m., when cotton and Chenille herringleaf curtains were popular with consumers. He wanted to replenish stock, but after calling a dozen suppliers in the morning, Mr. Xie couldn't find a single piece of fabric in stock.

On the one hand, the shortage is due to the obvious recovery of the market and increased purchasing, on the other hand, there was a wave of inventory clearing at the end of last year, resulting in a shortage of inventory at the beginning of the year.

Xie Junjie told reporters, because last year's overall market cold, a lot of cloth merchants need to return funds to the upstream, as well as to pay wages to workers, so anxious to liquidated, dump goods. The shortage was transmitted to the supply chain, and the purchase price rose. "We transferred a batch of goods on February 28, and found that a piece of cloth had increased by 50 cents on the first day." Xie Junjie said.

Light textile city from all directions, offline store customers, e-commerce customers, local customers, distant customers have emerged in light textile city, "Last year basically at any time to call suppliers can purchase cloth, but this year, some goods need to wait for 3-5 days, some to wait for more than 10 days, now printing and dyeing factory production, has been unable to catch up. Xie Junjie said.

Not only is the upstream cloth manufacturers at full capacity, downstream Xie Junjie, Ruan Xiaohan curtain processing factory is also stepping up production. Xie Junjie said that last year, orders from online customers could be delivered within 48 hours, but now they can be delivered within 5 days due to a shortage of staff. "Because this year's staff is based on last year's orders, I didn't expect such a rapid growth. In addition, we opened two new stores this year, with considerable data, leading to a shortage of staff."

Ruan Xiaohan said that the current shortage of skilled workers in the factory, recently stepping up recruitment.
Caution and sobriety after the tide returns

How far is reality from expectation?

However, Ruan Xiaohan also said that despite the year-on-year growth of orders, but still not recovered to the level of the same period in 2019, only about 70 or 80 percent of that time.

At present, a "quick return" model of domestic sales is particularly popular, which may also make upstream processing companies feel pressure. "That's the pattern of orders that a lot of merchants get in the front office." Businesses like Tiktok or fast fashion require the chain to move very quickly. For example, 50 styles of clothes are sold on Douyin, the most popular styles are selected for mass production and pre-sold for several days in a row, but generally required to be delivered within a week.

"Clothing fabric to output fast, normal orders to more than 10 days, 'fast back' mode, fabric to two or three days at most." Yang Jie, the person in charge of a fabric company, explained that every link from clothing production to logistics warehousing, then to the sale of goods broadcast room, and finally the completion of the platform presale, is produced within the specified time, "which also encourages many businesses in the store department to stock up, business is particularly hot."

In the beginning of the year, the demand skyrocketed, making the market experienced a significant recovery, but at the same time, the reporter understands that recently, the shortage has eased and the demand has stabilized. Upstream fabric manufacturers told reporters that, in fact, since February 25, the phenomenon of looting has subsided, and the large warehouse has no longer queued up.

Since the optimization and adjustment of China's epidemic prevention and control policies, the market has a strong expectation of consumption recovery, and raw materials are also gradually rising driven by strong expectations. During the Spring Festival, textile and garment markets everywhere are visibly lively. After the Spring Festival, reality and expectations show a certain gap, raw material prices turn back. Nowadays, the traditional consumption season of "gold, three and four silver" is coming, and the traders' demand for goods is increasing, and the market is gradually improving.

According to the results of market research, the textile market is showing signs of recovery. Recently, textile enterprises in Jiangsu and Zhejiang areas have been replenishment of raw materials, with a probability of 70 to 80 percent. Most of the production orders are signed before the year, and the order schedule is more than a month, but the number of long orders and large orders is small. The market has greater expectations for this year's "gold, silver and silver four", but the current inventory is relatively cautious, still waiting to see the recovery of orders and consumption.