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Silk exports to Japan plunge this year

May '07
According to customs statistics, during January-March, China's silk merchandise exports to Japan marked US $75.17 million, a drop of 32.59 percent on a year-on-year basis. Exports of silk garments, silk products and silk fabrics substantially reduced both in volume and value.

Silk garment exports fell significantly to 2.33 million sets, with export value at $37.76 million, down 28.35 percent and 21.5 percent, respectively, from the same time of previous year. The average price was around $16.23 per set, up 9.56 percent from last year, the highest in major markets.

Japan is the second largest market of China's silk garment exports, taking a market share of 9.12 percent.

There are three main reasons behind the major decline in silk exports to Japan during the period.

First, China's silk merchandise exports to Japan in 2006 increased considerably both in volume and price. Japan's domestic stock is more abundant this year, cutting down the demand of China's silk exports.

Secondly, the continued appreciation of RMB this year directly increase the cost of export products, silk goods are difficult to gain more export profit space.

Third factor is that Japanese domestic silk consumption slumped in recent years, which has reduced demand for silk merchandise.

Fibre2fashion, News Desk - China

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