Dec 14, 2021Leave a message

The Startup Rate Is Generally At A Low Level, And The Printing And Dyeing Industry

"Due to the recent downturn in the market and unsustainable supply of goods, the company decided to arrange some employees to take annual leave in advance"; "Due to insufficient orders in the factory, the employees in the factory shall be adjusted for holidays in batches first"; "Due to the maintenance of the company's boiler, it is expected that the annual leave will begin before and after December 20"······

Affected by sluggish sales, sharp rise in raw material prices, dual control of energy consumption, power and production restriction and other factors, the startup rate of the printing and dyeing industry has been at a low level in recent years, and many printing and dyeing enterprises have issued early holiday notices. In this regard, some insiders predict that the printing and dyeing industry may usher in the "longest holiday" and enter the "annual leave" mode in advance.

The startup rate continues to decline

The short-term market heat in October did not continue. Recently, the heat of the textile market fell. Once the busy scene was changed, printing and dyeing enterprises could not escape the cold winter.

According to Longzhong information, as of December 2, the average startup rate of printing and dyeing enterprises in Shaoxing, Zhejiang Province was 65.33%, and the operating rate decreased by 1.9 percentage points month on month and 10.21 percentage points year-on-year. At present, the subsequent new orders receiving rate of the printing and dyeing factory is low, and only a small part of the new orders just need to be issued. The frequency of traders' inquiries slowed down and the wait-and-see mood increased.

In the same period, the average startup rate of printing and dyeing enterprises in Shengze, Jiangsu Province was 58.5%, and the operating rate was flat month on month, down 8.72 percentage points year-on-year. The operating load of large plants is high, about 70%; Small and medium-sized dyeing plants have few orders, and the operating rate is around 40 ~ 50%, and some even decline to around 30 ~ 40%. At present, most of the orders made by the dyeing factory are scattered tail orders and supplementary orders of domestic brands. There are trace small cylinder lofting for spring and summer orders of brand clothing, but the actual orders can be issued are expected to be limited.

"There are not many orders now. The company originally estimated that there would be a batch of foreign trade orders in the near future, but it is still unknown whether the orders can be issued normally due to the 'new epidemic' caused by the Omicron mutant strain."

The sales person in charge of a printing and dyeing enterprise in Shantou, Guangdong also admitted: "affected by the epidemic abroad, some orders have been cancelled and reduced. Compared with previous years, the current orders have fallen by nearly 30%, and some machines in our factory have stopped production." He predicted that the next spring orders may briefly stimulate the order receiving situation in December. At that time, the startup rate may increase slightly, but then near the end of the year, the startup rate will decline again.

The business agency pointed out that at present, the turnover of fabrics in early winter is insufficient. In the spring of 2022, the orders for fabrics are relatively limited, the marketing continues to shrink, the turnover for several days falls month on month, and the orders of grey fabric manufacturers continue to decline. The agency predicts that the printing and dyeing market may show a local downward trend when trade orders continue to decrease and the aftereffect is insufficient.

There is little profit left

At present, manufacturers do not seem to have much expectation for the future market of printing and dyeing.

"Taking a holiday in advance is also a kind of 'relief', because even if you receive an order now, you can't guarantee that you will make money in the end." The above sales person in charge explained that the export price of this year was higher than that of previous years. Even if the ex factory price of some products was increased, some orders eventually lost money due to soaring freight and other reasons.

"I've obviously made less this year." An unnamed person in charge of a printing and dyeing enterprise in Jiangsu also said that previously, due to the company's lack of orders, some orders would choose to receive orders even if their profits were thin. However, affected by many uncertain factors such as freight and raw material price rise, the final result of some orders often lost money.

The data show that at present, there are more than 10000 printing and dyeing plants in China, and there are about 1600 Enterprises above designated size. From the perspective of supply and demand, printing and dyeing enterprises should be the "sweet cake" in the industrial chain, in a state of short supply. However, in recent years, the actual operation of printing and dyeing enterprises is just the opposite.

"The reason for this situation is that there has been a structural surplus in the printing and dyeing industry." Zhang Shuai, a former co-founder of Alibaba rhinoceros smart manufacturing, pointed out that the low and peak seasons of the textile industry are obvious. In the peak season, printing and dyeing factories are often in short supply, while in the off-season, printing and dyeing factory orders usually decline. Even without the negative impact of "black swan", according to the data of previous years, according to comprehensive statistics, the annual average startup rate of printing and dyeing plants is only 70%. In addition, the production capacity of most printing and dyeing enterprises in China is mainly processing, so the bargaining power in the transaction will naturally be depressed, so it is difficult to create additional value.

Zhang Shuai also pointed out that with the diversification of global consumer demand and the rise of fast fashion brands in recent years, the market demand for small orders in ready-made clothing is becoming stronger and stronger. Printing and dyeing enterprises can not meet the needs of downstream brands with production and marketing, as well as continuous and large-scale production mode.

Digitalization is imperative

Slow market response, weak flexible manufacturing capacity and lagging production mode have become barriers to the development of traditional printing and dyeing industry, and the transformation and upgrading of printing and dyeing enterprises is imminent.

Mao Guanglie, director of Zhejiang intelligent manufacturing expert committee, said frankly that it is urgent to develop a new printing and dyeing industry based on digital equipment, with digital printing and dyeing factories as the carrier and the Internet platform of printing and dyeing industry as the core.

Wang Yiming, former deputy director of the development research center of the State Council, also publicly stressed recently that data is becoming a core factor of production in the digital era. The digitization, networking and intellectualization of the production process have reduced the status of traditional production factors such as labor force and land. Human capital, technology and data are becoming the most important factors of enterprise competitiveness. The scale of data, data infrastructure, data collection, storage, processing and application capabilities have become the commanding heights of competition.

It is gratifying that many printing and dyeing companies have taken digital transformation as a compulsory course for enterprises. For example, Foshan Nanhai Tianfu Technology Co., Ltd. has established Taiyuan printing and dyeing intelligent chemical plant to realize the integrated control from order, process, production scheduling to production control. Finally, the success rate of one-time dyeing is increased by 10% and the dyeing time is shortened by 10%. The smart printing and dyeing platform of Shaoxing English printing and dyeing Co., Ltd. can automatically select the best production scheme for each order through big data algorithm, so as to improve the production efficiency by 25%. The relevant person in charge of the company said: "digitization has greatly helped enterprises optimize business processes, changed the communication mode between customers and enterprises, and made the communication between them more and more real-time and seamless."

Recently, CHENFENG Qiangsheng Textile Co., Ltd. and huansi wisdom project were launched in Suqian, Jiangsu Province. The project is a digital upgrade of enterprise production process management of its yarn dyeing workshop, weaving workshop and dyeing workshop on the basis of CHENFENG Qiansheng's existing dyeing and weaving equipment, so as to realize the whole process tracking of orders, product bar code management, equipment and machine interconnection, and the whole process traceability of product quality, so as to turn the original traditional workshop into a digital intelligent workshop, Effectively reduce enterprise operating costs and enhance their competitiveness.

"Now many enterprises indulge in the comfort zone and are unwilling to take any risks. Such rigid thinking can't keep up with the changes of the industry." Qian Wenqing, general manager of CHENFENG Qiangsheng, said that digitization may make enterprises live better in the past, but at present, digital transformation will become the key to the survival of enterprises. Printing and dyeing enterprises should seize the opportunity of digital development wave and spare no effort to promote the development of enterprises to digitization, networking and intelligence.


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