Textile Market, Big Business, Fashion, Small Batch, Frequent Purchase.

"Businesses have reduced their inventories, and now require us to provide end to end services, such as coming directly from the factory gates to outlets."

DHL, the global logistics giant, announced in Shanghai that it will build a fashion and garment pfer center in Jiuting, Shanghai, at the end of this year to speed up the efficiency of logistics distribution.

DHL has found in China that the fashion and clothing market is undergoing fundamental changes since the financial crisis, and domestic demand and export have been growing rapidly.

"The scale of China's domestic garment retail market last year was 305 billion US dollars, and by 2014, the development of the market will maintain a compound annual growth rate of 21%."

DHL believes that thanks to the fact that a large number of high-income Chinese people have realistic disposable spending power, Western retailers are expanding in China's big cities, which currently account for 20% of the total retail market and are expected to grow to 40% by 2014.

"The market for luxury goods is also growing rapidly, and is expected to grow to US $14 billion 600 million from the end of last year to US $9 billion 400 million, making China the largest luxury market in the world in the next 5 years."

Huang Guozhe, chief executive of DHL global freight logistics, told reporters that some big brands are buying and selling Chinese retailers and sales channels.

At the same time, although multinational companies have moved important purchasing bases to Vietnam and Bangladesh, they are competing fiercely for "made in China", but China is still the largest exporter of textiles and clothing in the world.

Big businesses are fashionable, small batch and frequent purchase.

DHL estimates that the annual output value of China's fashion and garment logistics industry is as high as $7 billion 500 million, but there are also new changes.

"All businesses have reduced their inventories, 1.3 days ago, now 1.2 days, and they will also fall in the future to improve their cash flow."

DHL found that the order frequency of American fashion and apparel retailers was faster, and the quantity of orders decreased each year. It should be purchased 4 times, 6 times, 8 times or even 12 times a year.

"Orlis has become a chain store, and customers are now asking us to provide end to end services, such as coming directly from the factory gate to outlets of outlets."

According to the introduction, the mass distribution period can be calculated by tonnage, and now it is often pported by "pieces". Therefore, new packaging boxes have been developed, while warehousing and pportation costs have increased.

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Huang Guozhe, chief executive of DHL global freight logistics, said that in order to cope with the expansion of the retail industry, it is necessary to expand storage and distribution network.

DHL announced yesterday that it will build a 5000 square meter fashion and garment pfer center in Jiuting, Shanghai, by two this year, covering an area of two times that of existing fashion and garment centers in Hongkong.

Logwin, another German air and cargo logistics company, also said that due to the rising demand for high-end fashion in China by consumers, the company expanded its logistics facilities in Shanghai. It has set up cargo handling facilities in the container terminal center covering 6000 square meters in Shanghai's coastal industry area, and continues to occupy 2000 square meters in Baoshan District, providing quality inspection, price tag, classification, labeling, drawing and sorting packaging services for fashion products retail customers.