Promoting the Upgrading of the Textile Industry in South Korea Accelerating the "Milan Plan"

In order to promote the upgrading of Daegu’s textile industry, the local government recently proposed to speed up the promotion of the “Milan Plan” and focus on the recent and medium-term work on nanofibers, microfibers and smart fibers, and digital dyeing projects, new garment designs, and cutting-edge textile machinery. The research and development of high-value-added projects will promote the development of Daegu’s textile and apparel technology and quality to the world's advanced level.

Located in the southeast of the Korean peninsula, Daegu is Korea's famous textile city. As early as 1998, Daegu City formulated the "Daegu and Gyeongbuk Region Fiber Industry Incubation Program" and proposed the famous "Milan Plan" that promotes Daegu's garments and technology to catch up with Germany and Italy, and join the world in textiles and clothing. The ranks of great powers. The core of the "Milan plan" is to fully strengthen the R&D and practical application of information technology and occupy the cutting-edge technological highland in the field of textiles. The long-term goal of the plan is to build Daegu into “Oriental Milan”, making it an important hub for the textile and garment industry in the world from textile production, marketing, and personnel training. In order to promote the above plans, Daegu has invested a total of 197.1 billion won, of which approximately 98 billion won was invested in technology research and development, 41.5 billion won was used to improve the industrial structure of equipment; in addition, corporate technology research and development services, infrastructure improvement and personnel training investment It was 32.9 billion, 19.8 billion, and 5.5 billion won (10,000 won or about 58 yen).

However, in the past ten years, the "Milan plan" did not allow the Daegu textile industry to develop smoothly and improve. For various reasons, the government failed to really implement many of the original reform and development measures, resulting in continuous shrinkage in many factories.

As the main equipment for the weaving segment, air jet looms have reduced their boot count by about 75% in the last 8 to 10 years. Most of these devices were purchased before the mid-1990s and have long exceeded their useful lives. Equipment aging has led to a decline in product quality and increased maintenance costs. Out of consideration for their own benefits, many companies have transferred or sold looms to other countries, but few companies plan to purchase new looms again.

For this reason, many textile manufacturers and experts have asked the government to re-examine the industrial upgrading plan and start promoting corporate innovation from its own. The first priority is the reform of the internal system, which is concentrated in the younger middle leadership. From the end of last year to the beginning of this year, many companies in Daegu underwent a new round of high-level changes. The new CEO is about 30 to 50 years old, and even the family-owned company is slowly passing the transfer stick to the second generation. These young decision makers can recognize the importance of talent cultivation, the closeness of the combination of technology and strategy, and the necessity of developing emerging markets and shaping their own image. Most of them are dual-specialists in the field of textiles and management, so they can quickly grasp the company's development focus and lead the company toward a scientific, sustainable development.

From the beginning of this year, more than a dozen major companies in Daegu City have jointly announced with the Korean Fashion Industry Research Institute that they will actively participate in international famous fairs and exchanges to make efforts to truly realize the “Milan plan”. Recently, as a representative of Daegu's textile companies and new-style reforms, South Korea's Kaew Fiber has signed orders for about US$1 million in overseas markets. Will a new generation of textile companies with a new look once again lead Daegu to create an industrial miracle, and South Korea will eventually stand in the position of a fiber-powered nation, and will stand the test of time and market.

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