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Strong chain and solid chain wig industry takes action

Date:2023-06-29 20:51:22

As a sub-category, China's wig industry has enough voice in the world: the export volume accounts for about 70% of the global total, and the output accounts for 90% of the global total. However, in the face of this epidemic, the fragility of the industrial chain has hurt the whole industry, and some enterprises even face the situation of out of stock and insufficient supply.

"In recent years, the wig industry is' two-headed'." The relevant person in charge of Qingdao Jifa Group described the development dilemma of wig industry as follows: one is the rising raw materials, and the other is the rising cost of manual processing.

Because of the rising wage cost of hook workers, the company's hook process has experienced three industrial transfers. "In the 1980s, we used local hook workers in Jimo, Qingdao, and moved to Yishui, Shandong Province in the middle and late 1990s. At that time, the salary was 1,500-2,000 yuan, and now we can't find hook workers with a salary of more than 3,000 yuan. In recent years, the hand hook technology has basically been transferred to other countries in Southeast Asia."

At the same time, the raw materials of the wig industry are also heavily dependent on imports from Southeast Asia, and domestic purchases account for less than 5% of the total consumption. According to Wang Fenrong, secretary-general of China Chamber of Commerce for Import and Export of Light Industrial Crafts, the cost of raw materials has also risen sharply in recent years.

"The raw materials for wigs have increased nearly 20 times in the past 20 years, of which about 2-3 times in the past 4 years." The person in charge said. Among them, the relatively short raw materials such as 6-inch, 8-inch, 10-inch and 12-inch have a small increase, and the supply is relatively sufficient, while the raw materials with a growth cycle of more than ten years of about 20 inches have a large gap and a large price increase.

The sudden attack of the epidemic has hit the whole industry by surprise. Take Qingdao Jifa as an example, the company's current production capacity needs 6,000 hook workers, of which 80% of the production capacity depends on Southeast Asian countries, and the lack of production capacity and goods to sell has become a common problem faced by many enterprises.

"The epidemic has a great impact on the export of wig industry, and domestic production is also facing the problem of insufficient supply." Ding Renhe, general manager of Henan Ruimei Zhenfa Co., Ltd. also told the International Business Daily. Due to the optimistic prospect of the domestic market, Henan Ruimei has always been an international and domestic two-line parallel, in which China has its own brand and channel.

"For the long-term layout of the domestic market, enterprises will retain considerable production capacity in China in the future. Although the domestic labor costs are higher, we have the advantages of logistics and channels, and we will increase the added value of products by improving services and improving consumer satisfaction." Ding Renhe said that in his view, this is the sustainable development path of the wig industry.

"The selling price of handmade wigs is seriously out of line with the actual value." Fu Ruling, chairman of Anhui Jinruixiang Hair Products Co., Ltd. said truthfully. According to reports, usually a handmade wig requires a skilled hook worker for about five days only in the hand hook process. In his view, despite China's high labor costs, workers are more efficient and products are of higher quality, which are unmatched by other countries in Southeast Asia.

"When the whole industry returns the price to its normal channel, consumers are also acceptable." He thinks.

At the same time, the strong "chain" and "chain" actions of the whole industry are under way. Hezhang County in Bijie City is the last batch of poverty-stricken counties in the country's fight against poverty. At the recent sixth meeting of the third session of the Hair Products Branch of China Chamber of Commerce for Import and Export of Light Industrial Crafts, Li Guang, deputy head of Hezhang County, said that the county has implemented ex situ poverty alleviation and relocation of 9,816 households with 51,156 people, and there are 26,567 laborers among the relocated people. In order to solve the employment problem of relocated residents, the county government has vigorously introduced labor-intensive industries led by hair products. In order to cope with problems such as difficulties in the export of hair products due to epidemic and other reasons, Hezhang county actively responded to the national spirit of "stabilizing foreign trade", combined with the policies of higher authorities and the actual situation of Hezhang county, formulated the subsidy scheme for handicraft manufacturing and foreign trade export enterprises.

According to Wang Fenrong, at present, the gap in hand hook work in China is more than 100,000. The Hair Products Branch is also implementing the national policy of "Six Guarantees and Six Guarantees", establishing five national hair products bases based on characteristic areas, and promoting the development of wig industry through poverty alleviation policies. "For the industry, no relevant early warning has been established before. What if the industry is broken? Now, by putting the handle hook process in the border area between the old and the young, the whole chain can be effectively connected, and in case of other circumstances in the future, the domestic production capacity can be adequately supplied. "

In his view, even if the production capacity in Southeast Asia recovers after the COVID-19 epidemic, China should maintain the production capacity of high-end products to ensure the controllability of the chain.