Recently, China Cotton Textile Association made an investigation tour to Foshan, Guangdong Province, and mainly visited some local denim fabric producers.

1. Operation

Local denim fabric producers operate smoothly, with output increased by various degrees and profit kept flat. It is predicted that the sales volume in 2017 will increase on year-on-year basis.

2. Raw materials and product structure

Most of the denim fabric producers in Foshan produce medium- and high-grade denim fabric. The yarns they use are not only diversified, but also of high quality. Cotton blended yarn account for about 30% of the yarn consumption. Besides conventional pure cotton yarn, some enterprises even use yarn spun with Xinjiang Cotton or Australian cotton. The ratio of imported yarn and local-produced yarn is roughly 1:1.

3. Increased awareness of environmental protection

According to enterprises, Guangdong Province takes stricter control over environmental protection year by year and the government has cut down certain part of outdated production capacity and now it is strengthening supervision on sewage discharge of denim fabric producers. The government encourages enterprises to enter into industrial parks where centralized sewage disposal facilities are provided. The enterprises investigated all agree that environmental protection is a direction for future development.

4. Transformation and upgrading

The enterprises investigated all regard quality, efficiency and benefit as the lifeblood for survival and development. Therefore, to realize transformation and upgrading, first they strengthen management to bring operation under control and ensure product quality and consistency; secondly, they improve production equipment in a planned way to enhance production efficiency and increase output; thirdly, they step up R&D efforts to shorten the cycle from development to market of new products, set up testing labs and increase the added value of products.

Source: CHINA TEXTILE LEADER Express