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Gov’t support needed for garment industry

2013-03-11 13:47 Ecns.cn     Web Editor: Wang Fan comment

(Ecns.cn) -- Gao Dekang, deputy to the National People's Congress (NPC) and chairman of Bosideng Group, talked about his new proposals related to Chinese manufacturing and the internationalization of Chinese brands during a recent panel discussion.

As a two-termer of the NPC, Gao said he considers his title an honor and a responsibility. He sees it as his duty to make the voices of both the public and the central government heard. Gao said that this year's meetings are more pragmatic and frugal in style.

Gao submitted two proposals this year, concerning the development of labor-intensive enterprises and the protection of ancient cities.

"Since the reform and opening up [1978], China has witnessed a rapid growth in economic progress and worker salaries. The country's garment industry, on the one hand, has to increase its employees' salary; on the other hand, it must improve its economic efficiency," he said.

Gao continued, "Original labor costs were relatively low. In recent years, however, although the workers enjoy higher wages, they have made less than average progress in their skills and productivity. This heightens the cost of the processing industry. Therefore, some companies can no longer survive or buy better equipment, and the product's profit shrinks as well. It is not surprising that more and more enterprise orders flow to countries like Cambodia and Vietnam, which [still] boast low labor costs."

"Because our costs are getting higher and higher, more foreign orders have been transferred to other countries whose labor costs are low, and some domestic orders have also gone to foreign markets," Gao stressed. "Our country endeavors to become a big manufacturer, and the garment industry causes little harm to the environment. Consequently, it is necessary for our country to introduce relevant policies to subsidize and support the growth of the garment industry."

The other proposal submitted by Gao regards the protection of ancient city ruins. "Tourist attractions should not be removed, and cultural heritages which are not tourist attractions should also not be destroyed. In order to restore cultural authenticity, historical sites should be protected and the damaged ones repaired. For those that should be protected and cannot be demolished, the government should appoint the appropriate subsidies. If the relics are destroyed thoughtlessly, it will be too late."

Read more:

Special report: Exploring the 2013 NPC & CPPCC sessions

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