2008 Where Is China'S Leather Goods Going?

Influenced by factors such as exchange rate reduction, RMB appreciation and so on, 2008 will be a year for domestic leather products to sell in China, and competition in distribution channels will be more intense. But the western market may be a new breakthrough point.

In May 7th, the reporter learned from the information release and product description meeting of the leather city of Western China (Wenzhou) that the largest leather trading center in the West will soon be put into operation, which will facilitate the development of the western market of Wenzhou footwear industry and solve the tight sales channels.

According to the introduction, as the largest private shoe making enterprise in China, AOKANG group started in January 2003 in Bishan County of Chongqing province to build one of the key items of Western China shoes. The leather city of Western China is planned to be a large scale professional market specializing in leather goods, bags, leather shoes, wholesale, retail, exhibition and exhibition. It will be the best business platform for leather products in Western China.

In addition to having the industrial advantages facing the western market, the leather city of Western China can be painstaking in its investment policy: offering 2 years of exemption (rentals), 3 years of partial tax return, administrative fee reduction and key brand incentives and other preferential policies, giving preferential treatment to provincial and national brands.

It is understood that the Wenzhou project promotion conference is the second stop of the leather city investment. The first station was held in Guangzhou in May 5th, attracting many Pearl River Delta leather goods enterprises' attention.

Jiang Yuanwu, general manager of Chongqing AOKANG Real Estate Co., Ltd. disclosed that the Western China Leather City, which is to be put into operation, has only one week's booking registration. There are more than 1000 groups of investors who want to rush to buy Western Leather City stalls.

China's seven famous brand leather products have already been settled in 5 leather traders, including crown, rookie, love virtue, Paul Rand and Figuel, and more than 500 brands have been settled.

According to the insiders, the leather industry in Western China has been deeply rooted in the industry. Since the appreciation of the RMB and the deterioration of the foreign trade market since 2007, the export of many leather enterprises in Zhejiang has been blocked, resulting in oversupply of leather goods.

Especially in Wenzhou, because of the shortage of mountains in Wenzhou, the development and growth of leather enterprises are restricted by land. They have begun to turn to the domestic market, while Chongqing is a better choice to irradiate the western market of China.

The operation of the Western leather city will win business opportunities for Wenzhou leather enterprises and ease the pressure of sales channels and labor costs.

In mid April, Bo Xilai, member of the Political Bureau of the CPC Central Committee and Secretary of the Chongqing Municipal Committee of the CPC, also said in Wenzhou that Chongqing has certain advantages in taxation, land policies, labor resources and markets, and has a favorable environment for development.

Chongqing is willing to open its doors to become a platform for the development of Zhejiang's private enterprises in the central and western regions.

It is also understood that in May 18th, the fourth China western international footwear Expo will be held in Bishan, Chongqing. The main exhibition hall of this shoe Fair is located in the leather city of Western China. There are 1200 standard booths and trading markets, 1 times higher than the previous one.