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    Heshan Shoe Enterprises Look Forward To Getting Out Of Old Worries And New Worries

    2008/11/24 11:40:00 18

    Heshan Shoe Enterprises

    This year, affected by the international and domestic economic situation, the survival and development of small and medium-sized enterprises, especially export-oriented enterprises, are facing severe tests.

    Like other places, the footwear industry in Heshan has been in a difficult position in the past two years. The momentum of large-scale expansion of enterprises has been curbed, the momentum of industrial growth has slowed down significantly, and the production of many large enterprises has shrunk.

    In October of this year, 3 export processing shoe factories in Heshan were closed down, and 2 outsized shoe factories were in a semi shutdown state.

    In the face of severe test, what kind of "old trouble" and "new worry" do Heshan shoe enterprises have?

    How will they deal with difficulties?

    To help them overcome the difficulties, what role will the local government play and what measures should be taken?

    Can they fly against the wind, tide over difficulties and usher in a new spring?

         “新愁”影響

         成本上漲 企業減產

    What is the status quo of Heshan shoe enterprises?

    A few days ago, reporters walked into the Middle East Village of Sha Ping, a relatively concentrated shoe-making enterprise in Heshan.

    He is looking at several lists, including education fees, water conservancy embankment fees, value-added tax, corporate income tax and so on, which are expenses other than factory rent, staff wages and raw material costs.

    After reading the list, Yi always sighed.

    His company is facing difficulties in reducing production lines, labor shortage, reputation damage and capital turnover.

    "I miss the old days very much."

    Sitting on the sofa on the office and lighting a cigarette, Yi always said, "at that time, everything was very simple. Orders were flying like paper, and the enterprise was running all night."

    Speaking of which, he smiled.

    Extinguished the cigarette butt, he continued: "now, raw materials, wages, social security, factory rent, water and electricity, taxation, research and development and other expenses are rising. Enterprises spend at least 23 million yuan per month, and no more than 10 million yuan of funds are used for turnover, and the enterprise can not endure for two months."

    Yi has counted the accounts for reporters: since the beginning of this year, the price of leather materials has increased by 10%, and the chemical glue has increased by 30%. After the implementation of the new labor contract law, the artificial cost has risen by 15 - 20%, and the total cost has increased by 10% - 30%. However, the wholesale price of footwear has increased by only 10%.

    In order to cut costs, his company had to slash production. More than 5000 square meters of factory buildings were nearly 1/3 idle, and the enterprises were in a veritable halt.

    He told reporters to visit the factory he had not visited for half a year. The reporter felt the cold and desolate place there: the workshop of nearly 1250 square meters was dead, and many leather boxes and shoe materials were stacked in disorder.

    A vacuum hot sulphur machine that had been bought for about 600000 yuan last year has not run for more than a year. It is a high-tech device operated by computers, but it is no longer as antique as it is. There are thick dust on the equipment such as spray furnace, spray painting machine, stereotype, packaging and so on.

    "The equipment is the first class equipment, but because there are no workers, (capital) is difficult to turn around, so we have to pfer the plant."

    Yi always sighs.

    In the shoe industry, it has been rolling for more than 10 years, and the enterprise has a glorious past. Yi has always had a day of rest and rest. But this year, a series of difficulties encountered by enterprises have made him sit on a difficult time. He even changed his habits.

    Asked about today's entertainment, he said with a solemn face: "before we invited friends to play golf together, now the enterprise is difficult to survive, I have no leisure."

    The situation of Yi general enterprise represents the survival condition of some shoe enterprises in Heshan.

    It is understood that the depreciation of the US dollar, exchange rate losses, orders reduction, difficulties in capital turnover, rising cost of raw materials, rising labor costs and imperfect internal management all bring severe tests and even fatal attacks to Heshan shoe enterprises.

      行業“舊患”

    Small workshops and big enterprises "robbing people"

    In addition to the impact of the big economic environment on enterprises, the shortage of employees is a long-standing "injury" in the footwear industry of Heshan.

    According to a survey report of Heshan labor and Social Security Bureau, the "labor shortage" of enterprises has already appeared in the early 2006, and shoe enterprises are no exception.

    In the past 3 months, journalists have often seen some walls or posting columns near the East and west villages, Xiaofen street and Beihu road. The recruitment information is constantly updated: "hiring cars, folding, facing up", "hiring packaging, miscellaneous workers, bottoms, punching staff", "sufficient orders, comfortable environment", "excellent salary, good grain time, accommodation, welcome new and old employees to come for a job".

    Liang Zongyi, the shoe business owner of the Middle East Village, will be exclaimed by talking about the workers' problems. "It used to be workers queuing up to find jobs at my factory gate, but now we are looking for workers everywhere."

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