China Commercial Circulation Association of Textile and Apparel (CATA) issued the operation data of China’s textile clothing wholesale market in the first half of 2018, and emphatically analyzed the general operation of the specialized market, operational characteristics of circulation domain and critical data in the market operation in the first half of this year.

In the first half of this year, China’s textile clothing wholesale market runs steadily and makes progress; the pace of transformation and upgrading is accelerated, especially in the eastern region of the specialized market. The reaction speed, strain capacity and risk resistance awareness of facing market have been enhanced gradually. Meanwhile, the efficiency of market operation has been improved continually and the market is gradually picking up on the basis of actively resolving various risk contradictions.

Total market turnover increases steadily, eastern markets occupies a dominant

According to the data displayed, from January to June, 2018, CATA intensively monitors 45 specialized markets, with a gross turnover of RMB 504.635 billion Yuan and a year-on-year acceleration of 5.42%. Among them, the turnover of 21 markets rise 8.14% averagely; the turnover of another 21 markets decreases 5.81% on the average; and the turnover of 3 markets is the same as the same period last year.

The efficiency of market operation continues to improve. From January to June, 2018, the average working efficiency of 45 key monitored markets is RMB 45731.89 Yuan/m² (annualized), with a year-on-year acceleration of 5.42%. Average efficiency of shops is RMB 34848 thousand yuan/shop (annualized), with a year-on-year growth of 6.01%; the average efficiency of shops is RMB 387.20 thousand yuan/shop (annualized), with a year-on-year acceleration of 7.88%.

The turnover of specialized market in eastern region is accounted for over 80%, with a leading growing rate. From the perspective of regional structure, the turnover of specialized market in eastern region is RMB 434.599 billion Yuan among 45 key monitored markets from January to June, with a year-on-year acceleration of 6.65%, and it occupies 86.12% of total turnover of specialized market. Besides, the turnover of specialized market in central region is RMB 478.80 billion Yuan, with a year-on-year decrease of 2.58% and accounting for 9.49% of total turnover of specialized market; the turnover of specialized market in western region is RMB 221.56 billion Yuan, with a year-on-year decrease of 0.42% and accounting for 4.39% of total turnover of specialized market.

The turnover of origin-based specialized market is stronger than the distribution-based specialized market. From the point of view of circulation level, there are 27 origin-based specialized markets and 18 distribution-based specialized markets among 45 key monitored markets. From January to June, 2018, the turnover of 27 origin-based specialized market is RMB 430.493 billion Yuan, with a year-on-year growth of 6.60%; the turnover of 18 distribution-based specialized markets is RMB 741.42 billion Yuan, with a year-on-year decrease of 0.97%.

The new specialized market in eastern region occupies a dominant. There are 6 new professional textile clothing markets in the first half year, consisting of 5 markets in eastern markets and one in central region; the overall investment of new professional textile clothing markets is RMB 6.7 billion Yuan, and the gross building area is 2.905 million square meters. In addition, the average investment cost of new professional textile clothing markets (investment volume of unit building area) is RMB 2306.37 Yuan per square meter. The new specialized markets are all newly opened markets, without new start-up market.

Market transformation and upgrading highlights obvious effect, new industrial undertaking markets forges ahead steadily

The specialized market has higher reaction speed and stronger risk resistance awareness. Based on booming supervise continuous data of CATA, the passenger flow volume and shipment decrease due to the influence of Spring Festival holiday, continuous torrential weather, 618 e-commerce promotion and other objective factors in the first half year of 2018. Despite all this, the turnover of 45 key monitored markets still has a year-on-year growth of 5.42%, and the growth rate is improved compared with the same period last year. It can be found that the specialized market can adjust steps and convert strategy in time when facing with operation difficulties. Besides, the reaction speed, strain capacity and risk resistance awareness of specialized market have been enhanced.

Origin-based markets grow rapidly. Recently, origin-based markets convert their sales model gradually from spot wholesale to small batch, multi-batch wholesale. In the first half year, the 27 origin-based markets grow rapidly, the total turnover is RMB 430.493 billion Yuan, with a year-on-year growth of 6.60%; the growth rate maintains over 6 percentage points for 3rd consecutive years.

The specialized markets in eastern region lead development continuously. By region, the turnover of specialized markets here is RMB 434.599 billion Yuan among the 45 key monitored markets. Based on tremendous base, the eastern region still posted growth of 6.65%, with solid development and obvious advantages. By contrast, the turnover of central region decreases 2.58%, the turnover of western region merely increases 0.42% on year-on-year basis, with a declining trend of growth.

The investment in specialized market returns to rationality. From the perspective of new increment of markets, there were 31 new markets in the first year of 2014, 20 new markets in the first year of 2015, 22 new markets in the first year of 2016, 16 new markets in the first year of 2017 and merely 6 new markets in the first year of 2018. According to the last five years of continuous data, the increment of new markets decreases obviously. The overheated investment in the professional market in the previous stage is gradually fading, and the number of newly started and newly opened markets has returned to the rational range.

The industrial undertaking markets are dominant in new markets. In the new markets in the first half year of 2018, the industrial undertaking markets occupy a large proportion. On the one hand, the number of newly started and newly opened markets in central markets increases slightly, to better undertake the return of merchants and labors due to transfer of textile and apparel industry in eastern coastal region; on the other hand, there are large number of newly opened specialized market in Hebei and Tianjin regions, to undertake the outward migration of Beijing clothing business circle. Meanwhile, the dredge, relocate and undertake work of commercial district forge ahead steadily.

(Source: China Commercial Circulation Association of Textile and Apparel )