Industrial news >Outdoor Living Suppliers face tough challenges due to policies in China
source: LOFA Press release April 2010
Members of the Leisure and Outdoor Furniture Association (LOFA) are reporting that supplies of garden furniture and barbecues from the principle factories in China are severely affected due to a shortage of labour, critical since the Chinese New Year. This follows a period earlier in the year when containers for shipments were hard to obtain caused by a lack of shipping.
The Chinese government expecting a major reduction in manufacturing due to the global recession deployed many workers onto state projects such as dams and the railroad. Farmers were also given subsidies and many previous agricultural workers have decided to return to the land. The net result in some cases is a 40% reduction in the skilled workforce in the factories. The UK retailers have compounded the situation by leaving ordering to the last minute and now blaming the suppliers for not having the stock.
Richard Plowman, Secretary of LOFA said “Those retailers who placed early orders at SOLEX last July or just afterwards are the fortunate ones and perhaps after years of warning, buyers will realize why early ordering is essential. Suppliers, particularly LOFA members have previously come to the rescue to secure late orders in previous seasons but this year don’t blame the suppliers for the policies taken in China and the shortage of product”