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What made chinese condom cost increase so much?

What made chinese condom cost increase so much?

According to our 10 years condom exporting experience, we can find the trend easily, the condom price increase year by year, if it crazily? Why increase continues? let’s find the reasons of the increase.

Based on same requirements of 52x180mm plain condom, 400ml silicon oil lube, square foil wrapper, 3pcs/box, 24 boxes/display, 250 000 boxes, total one 20FCL, Let’s see the trend and compare price each year as following:

  • 2006, FOB Qingdao price is us$0.07/box.
  • 2007, FOB Qingdao price is us$0.075/box.
  • 2008, FOB Qingdao price is us$0.08/box.
  • 2009, FOB Qingdao price is us$0.085/box.
  • 2010, FOB Qingdao price is us$0.09/box.
  • 2011, FOB Qingdao price is us$0.095/box.
  • 2012, FOB Qingdao price is us$0.1/box.
  • 2013, FOB Qingdao price is us$0.105/box.
  • 2014-2016, FOB Qingdao price is us$0.11/box.
  • 2016-2020, FOB Qingdao price is us$0.115/box.

Which clear shows the increase trend, we think there are 3 reasons make the price go up:

1)China manufacturer give up the cheap strategy.

Before 2010, we always want to win clients by the very cheap price, because we don’t have advantage in quality, price is only weapon. Along with economic crisis at 2008, many lower quality condom manufacturer went to bankrupt, only better quality companies survive, they can get more orders with reasonable profit, which also make them can invest more into to the quality and new technology’s research.

When the quality improve to a new level and the price also better than Malaysia/Thailand and Japan, more and more worldwide orders come into China, and China companies can invest more and more funds into technology’s improve program, so we can find clearly that our quality and new production level had come into the industry’s top level.

2) China material and energy cost  really increase.

This is the world’s inflation result not only China’s own problem, the natural latex, aluminum foil, paper box, lubricants also the relation cost increase year by year, energy’s increase not make our production higher, which also make our transportation cost increase.

3)Human workforce increase.

10 years ago, our worker salary only about us$200, but now it’s about us$400 per month, which make our average workforce price double and some area only us$100 per month, although the cost increase double, Chinese average unit workforce still is the world’s best one, because our worker’s efficiency is the quickest in the world, such as our worker can packing 4000 boxes per 8 hours, and our Kazakhstan clients tell us their salary is about us$130 per month, but their worker only can pack average 1100 boxes per hour and Nigerian worker can pack 860 boxes per 8 hours based on us$100 salary per month.

And most important factor is Chinese worker not only working hard but also very good at study and improve at the working, they always can work out better option to increase technology and increase efficiency to make quality up to new level, they take the job as career in life more than a chance get money.

That’s why China made condom price grow up and why they will lead in the industry worldwide sooner or later. And China now leading in the new material’s production, such as the polyurethane and other new material still in the study. And the polyurethane condom already approved success, because it win many market orders, and consumer prefer to use it again and again, it has the trend to instead of latex one.

 

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