Yuncheng Delivers A Warm Winter For Textile Industry

In December 24th, Li Jifeng received a message from the county tax bureau, "Yungang Tong", and smiled on his sad face. He said that enterprises were only one step away from life and death.

Li Jifeng, chairman of Yuncheng HAVA Cotton Textile Co., Ltd., delighted him that "the national value-added tax will be pferred from production to consumption, and the new production equipment value-added tax will allow large enterprises to benefit from". This is a platform for the tax system to release information to him.

Yuncheng is a textile county. There are 365 textile enterprises in the county, 3 million 100 thousand spindles, 12 thousand looms, and 42 thousand people in the textile industry chain.

County Party Secretary Liu Guosheng told reporters that the impact of the global financial crisis, product prices plummeted all the way, many large and powerful enterprises due to the acquisition of cotton, inventory products, several close to the situation, at the moment, any external adverse factors will become the last straw to crush the camel.

To this end, the county has repeatedly issued support policies and measures to help enterprises to survive the cold winter under the international financial crisis.

The county encourages enterprises to solve the financing problems of textile enterprises by means of property mortgage, joint household insurance and guarantee provided by Guarantee Corporation.

The county finance once again injected 20 million yuan into the Guarantee Corporation of the small and medium-sized enterprises, so that Guarantee corporation could have the conditions to cooperate with the state-owned banks and increase the scale of secured loans.

On this basis, the county has recently established a Huitong material storage and pportation center, already has 30 thousand tons of cotton reserve capacity.

The County Credit Union and the cotton reserve households have signed a loan agreement to provide loans through warehouse receipt pledge and solve the problem of shortage of funds for the purchase of cotton.

For textile enterprises to lighten their tax burden, the county stipulates that within 6 months from January 2009, the approved amount of textile enterprises' taxes will be approved to lower the approved quota, and that part of the expenses collected by the finance and taxation departments will be delayed.

This county has set up a website of "Yun Tong Tong" and a mobile phone short message platform to inform policy information in time, and to dispel doubts and doubts for enterprises.

According to the introduction, though affected by many unfavorable factors, the income of the state and local taxes from the textile industry in the county has increased over the previous year.

At present, in the textile enterprises of the whole county, most enterprises are in a state of low profit, except for more than 10 raw materials storage or finished product backlog at the beginning of the year.