When it comes to the textile industry, most people think of clothing, but ignore another end product of the textile industry, home textiles. However, with the trend of “emphasis on decoration and light decoration” in the home furnishing industry, the role of home textiles has increasingly been upgraded from practical to decorative, and the home textile industry has been “activated” like never before. China’s home textile industry is showing a prosperous scene, and its good development trend is favored by the market.
The Shengze textile market where the author is located mainly sells clothing fabrics and linings, with home textiles still in the minority. In addition to the clothing fabric industry formed by Shengze itself, there are only a few home textile companies. The author interviewed Mr. Zeng of a home textile company in Shengze.
“The home textile industry has grown rapidly in recent years, and the market is much better than that of clothing fabrics. Business is good all year round. Unlike clothing fabrics, which have ups and downs, the annual volume of home textiles cannot make as much as the volume of clothing for a few months!” The seasonality of the home textile industry is indeed not strong. Furniture products are sold in all seasons, unlike the clothing industry, which is particularly seasonal. Of course, clothing fabrics also have their benefits. For example, when the market is hot, you may be able to earn a full year’s profit in just a few months. This is also an attractive place for clothing fabrics. Mr. Zeng also saw this, so his words revealed the idea of making clothing fabrics at the same time, but he was hesitant.
The cost of clothing fabrics is low, making it easy to stock up and speculate
In terms of cost, the price of home textile fabrics will not be too low, and “bad” polyester taffeta cannot be used for home textiles. In addition, the price of water-jet looms used for fabrics is also quite cheap, so clothing fabrics have the advantage of low prices in terms of cost, and the simple start has led to many people starting their own businesses. As for home textiles, both the cost of the fabric itself and the cost of the loom are much more expensive than clothing fabrics. Starting a business requires a large investment, so relatively few people choose to start a home textile business. Looking at the overall product cost, if the cost of a piece of clothing is over 100 yuan, there will be many middlemen hoarding and speculating on it. The cost of a home textile product is at least two to three hundred. The cost of home textiles is too expensive, so there are very few people stocking up for speculation.
Slow return on clothing fabrics
When it comes to the textile industry, the most troublesome thing is the issue of payment. Funding is a top priority for a business. Due to the serious debt problem in the industry, many companies are ruined by lack of funds. Due to the price increase of raw materials due to environmental protection and other factors this year, most of the payment for gray cloth, dyeing fees and other goods is paid in cash. Therefore, the problem of payment collection this year has improved compared with previous years. However, home textile fabrics still receive payment faster than clothing fabrics, and the funds in arrears are not much. The payment can be recovered in about 40 days.
High competition pressure on clothing fabrics
For the industry of Shengze, clothing fabric companies have blossomed everywhere. The blowout in production capacity will inevitably bring vicious competition, and the pressure of competition can be imagined. Taking the most popular gallbladder product in the past as an example, new gallbladder companies have sprung up on the market this year. However, affected by factors such as the season and excess production, prices are falling and sales are slow. These companies are in a difficult situation. As for home textiles, although there is no strong advantage in Shengze, due to the small number of home textile companies, competition is not great. Coupled with the rapid development of the home textile industry, the future prospects are indeed brighter than that of the clothing industry.
The author can understand Mr. Zeng’s inner conflict between wanting to get involved in clothing fabrics but not wanting to. Every industry has its own advantages and disadvantages. As for whether home textile companies should get involved in clothing, and whether clothing companies should continue to delve into the industry, I can’t do anything. It’s better to listen to the opinions of the cloth boss.
</p
