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Clothing enterprises distressed over rising prices
04
Jan '08
Chinese exporting enterprises are in a big dilemma, as the rising raw material prices are affecting the sales cost of 'made in China' products in the international markets. With the increasing charges of foreign supermarkets, it has become a major difficulty for the Chinese suppliers to sustain and now they are seeking other sales channels.

The merchants who sell Chinese products, especially silk and cotton apparels in huge supermarkets of US, old department stores, and big retail enterprises, have decided to give up selling in these places as they are unable to retain the profits, compared to earlier years.

According to statistics, if the processing fee of a piece of garment is US $5, the supplier has to share 20 percent with American shops. This, now, has become quite distressing for the Chinese businessmen as they are facing various problems even in the domestic region.

Fibre2fashion News Desk - China

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