Small And Medium Textile Enterprises In Henan: Yearning For A Fire In Winter

The prophet of warm spring duck.

At the end of September, when the global financial turmoil was over, the small and medium-sized enterprises in Henan had been staggering for nearly a year in the winter.

However, the overall outbreak of the financial crisis has obviously brought greater challenges to these enterprises.

For Xiangcheng Cotton Textile Co., Ltd. (hereinafter referred to as Xiangcheng cotton spinning), 2008 is clearly not a good year.

In the first half of this year, Xiangcheng cotton spinning only made a profit of 10 thousand yuan and was at the edge of losses.

In 2007, it also made a profit of 16 million yuan, about 30000000 yuan in taxes, and the quality of products reached international standards.

In January ~7, raw material cotton increased by 700 yuan ~1000 yuan per ton compared with the same period last year. According to the new labor law, workers' wages rose by 100 yuan per month, and electricity price rose by 0.0306 yuan per degree. According to the head of the company, the cost of ton yarn increased by 500 yuan.

The cost increase has made Xiangcheng cotton spinning difficult.

"What is more serious is that the product is not selling well now, the price is not going up, and the sales volume is not up.

In July this year, the scale of discontinued production was 25%. In August, it continued to suspend production, and the scale of production was 50%. Many workers could only take a holiday.

The head of the company said helplessly.

The research staff of the provincial SME Service Bureau said that Xiangcheng cotton spinning is of the highest level in the same industry in the whole province. The equipment is first class in China, the enterprise mechanism is also good, the product quality is good and the grade is high.

The main reason for business difficulties is neither bad management nor aging equipment. "Macro policies and changes in the international economic environment are the main reasons".

Li Xiuming, spokesman of Henan Textile Association, told reporters that not only Xiangcheng cotton spinning, but almost all the textile enterprises in the province were hard pressed.

When the reporter said he wanted to interview the case, Li said that few companies dare to disclose their real existence.

Because once we tell the truth, the bank will rush the accounts immediately, and the enterprise will go bankrupt immediately.

The chief executive of a textile enterprise in Anyang said that textile enterprises should not make money this year.

In fact, the encounter of textile enterprises is only a microcosm of all small and medium-sized enterprises.

In the first half of this year, small and medium-sized enterprises in Henan accounted for 907 losses, with a deficit of 4 billion 268 million yuan, and the deficit increased by 156.7% over the same period last year.

Only in Huojia County, 510 enterprises were shut down in the first half of this year, and 39 enterprises were closed down.

The Research Report of the provincial SME Service Bureau listed the biggest difficulties facing SMEs as the "poor financing channels and tighter funds". Because of insufficient liquidity, many enterprises were unable to expand their scale and improve technology, resulting in a loss.

A bank personage introduces, because implement tight monetary policy, the general bank requires the total assets of the enterprise to reach more than 60 million yuan, or the annual sales income is more than 100 million yuan, the single credit scale is more than 10 million yuan.

For small and medium-sized enterprises, which are numerous but small, these conditions are difficult to achieve.

The Research Report of the provincial SME Service Bureau also shows that the county level agricultural bank, the CCB, ICBC, the Agricultural Development Bank and so on do not save money, but the capital strength of the city commercial banks and the rural credit cooperatives is relatively weak.

Moreover, bank loans are further concentrated on large enterprises.

The small and medium-sized enterprises in Xuchang reflect to the provincial SME Service Bureau, except for several large enterprises such as XJ, the Yellow River and so on, SMEs can not get loans basically.

The increase in the price of raw materials has also led to the narrowing of the profit margins of enterprises.

In the on-the-spot investigation of 118 small and medium-sized enterprises in the province by the SME Service Bureau, 85.96% of the enterprises reflected that the prices of the main raw materials were higher than that of the same period last year, and 79.03% of the average selling prices of the products were flat or decreasing compared with the same period last year, and 89.42% of the enterprises reflected the decline in economic efficiency.

For small and medium-sized enterprises in Henan, the implementation of the new labor law has increased the labor cost of enterprises which originally earned profits from cheap labor. Compared with last year, the average labor cost of SMEs in Henan increased by 2%~4%.

For those enterprises with export business, the appreciation of the renminbi and the reduction of the export tax rebate rate are even worse.

Such as Xinye textile Limited by Share Ltd, thus reducing the profit of more than 30 million yuan per year, Nanyang Magnolia Home Textile Co., Ltd. also reduced the profits of millions of yuan.

In the interview, reporters found that many officials familiar with SMEs or officials of the association felt that the current situation of SMEs was not related to the global financial crisis.

However, the securities companies interviewed by reporters and senior employees of Futures Company indicated that the US subprime mortgage crisis is "hot in the world".

The report of the State Council Research Office also showed that in order to deal with the subprime mortgage crisis, the Fed continued to cut interest rates and the US dollar continued to depreciate, which has increased the pressure of RMB appreciation. These have not only adversely affected the healthy development of the world economy, but also increased the pressure of imported inflation and the difficulty of macroeconomic regulation and control.