A towel manufacturer from Zhejiang Province traveled over 4,000 kilometers to settle in Xinjiang 15 years ago, investing a total of 2.7 billion yuan. It has not only increased the added value of Xinjiang cotton by five times but also transformed over 13,000 farmers and herders into industrial workers. This case is becoming a benchmark for east-west collaboration in the textile industry.
Industrial Deployment: From Eastern Capacity to Western Base
Grace's decision in 2011 to build a full-chain towel production base in Alar, Xinjiang, was driven by clear cost and resource logic. Xinjiang produces about 90% of China's cotton, and building a plant locally significantly reduces raw material transportation costs. Meanwhile, southern Xinjiang offers abundant labor at lower costs compared to the eastern coast.
Current data shows that Grace employs 1,669 workers in Xinjiang, 84.2% of whom are ethnic minorities. This means the company not only meets its own production needs but also directly undertakes the task of local employment transfer. For the textile industry, this model of combining raw material and labor locations is becoming a reference path for more eastern enterprises heading west.
Talent Transformation: The Technical Leap of 13,000 Farmers
The key to a company taking root in the west lies in converting local labor into stable, skilled industrial workers. Grace has established a systematic training system—from school-enterprise cooperative 'textile classes' to on-site 'master-apprentice' mechanisms and employee training centers—forming a complete talent cultivation chain.
Data shows that over 13,000 trainees have grown from inexperienced farmers into business backbones and grassroots managers. This number far exceeds the company's own needs, meaning Grace has effectively supplied skilled workers to surrounding enterprises, objectively boosting the talent pool of the entire Alar textile belt.
Notably, Grace also set up a 'Minority Youth Employment Promotion Fund,' which has helped over 300 students complete vocational education and directly join the company. This closed loop of 'funding + training + employment' reduces recruitment uncertainty and enhances employee loyalty.
Dual Returns: Brand Value and Industrial Synergy
In 2024, Grace's brand value reached 35.849 billion yuan, ranking first in the towel industry for 11 consecutive years. This achievement is inseparable from the operation of its Xinjiang base. By processing Xinjiang high-quality cotton locally into finished towels, Grace achieved full-chain control from cotton to towel, ensuring raw material quality and shortening the supply chain.
The company claims to have achieved a five-fold increase in cotton added value through research platforms, which involves the integration of spinning, weaving, dyeing, and finishing. For the home textile industry, this full-chain model reduces intermediate waste and information asymmetry, increasing the profit margin of final products.
Infrastructure Investment and Employee Retention
To stabilize its workforce, Grace invested an additional 50 million yuan in living facilities, including canteens, activity centers, supermarkets, clinics, and nurseries. More critically, the company introduced a 'house ownership after service years' policy and arranged school buses for employees' children.
Such investments are uncommon in the textile industry, but they directly address the core demands of western industrial workers: housing, children's education, and living convenience. When employees tie their families to the company, turnover rates naturally drop. For textile enterprises planning to move west, this data warrants careful evaluation: 50 million yuan in living support has secured stable employment for 84.2% of 1,669 ethnic minority workers and sustained 11 years of industry-leading brand performance.