Shengze: From The Clothes To The Wall Street

This is a Chinese comedy.

In the winter of the global financial crisis, China's professional market has sprouted its spring with the most influential textile and small commodities exports. This is also a Chinese tragedy. In the market legal system construction is lagging behind, the products are mostly at the low end of the industrial chain, and the division of departments, multi management and duplication of construction are serious. Meanwhile, the development of China's professional market may only rely on the enthusiasm and dreams of entrepreneurs.

Between sadness and joy, what lies before us is a Chinese paradox. What is the breakthrough of the paradox? The power of the government, the power of the entrepreneur, or the strength and power of innovation that the scholars are talking about? The press group visits several Chinese specialized markets, trying to find a new Silk Road for the development of the specialized market in China.

"I can only give half an hour."

The telephone end, Sheng Hongming's tone is decisive.

Although it's just a secretary of a small town, it's hard to date him.

He is a busy man who is busy building the new silk road of Wujiang, Shengze, a major textile industry in China.

Under the jurisdiction of this canal, hundreds of square kilometers of town along the old canal have gathered more than 2300 textile enterprises and more than 6000 textile trading companies, and 10 million shuttleless looms have surpassed the total sum of three in Japan, Korea and Taiwan, China.

"Hundred trees Wei sang is half a flax, every time and the rain falls the reeling vehicle."

When the late Tang Dynasty poet Lu Guimeng lived in Wujiang, he described the current situation of the silk industry at that time.

In 1950, the Shengze town Federation of industry and commerce registration book recorded the prosperity of Shengze's textile industry, yellowed paper, nearly 1000 textile shops, and prosperous scenes.

Today, 8 billion 500 million meters of textile products are produced each year, which can provide more than 1 meters of cloth for everyone in the world. Shengze has become the veritable "China first cloth Village".

1. a bottle of salt water crisis (achievements)

"During the financial crisis, no enterprise in Shengze went bankrupt."

In November 18th, an exclusive interview with this newspaper was made. Sheng Hong Ming smiled and talked. "In fact, most businesses are trapped by funds." only one bottle of saltwater can be filled, so that they can live. "

"

"When other enterprises collapsed, we held on. When others came back, we were far ahead."

Sheng Hongming said this is a little excited, "many enterprises take advantage of the great opportunities of the financial crisis, and quickly expand the pace of expansion."

"Shengze people will not do anything other than textile industry."

He told reporters that a lot of Shengze people have done other types of businesses locally, but they often "give up halfway" and go back to doing the textile industry before they come back to life.

This "old Shengze" in the western style of dress and shoes, speaks of Shengze, and will talk about history: Shengze residents have traditionally planted mulberry and silkworm reeling silk fabrics.

After thousands of years of development, it became an industrial center integrating silk spinning and trade logistics in the Ming and Qing Dynasties. It was listed as China's "four largest silk cities" with Suzhou, Hangzhou and Huzhou.

According to reporters' information, from 1 to October this year, Shengze completed 15 billion 700 million yuan in GDP, up 11% over the same period last year.

During the financial crisis, China's textile industry was hit most. Shengze's GDP has not declined year by year, but on the contrary, there has been growth.

According to reports, Shengze has "three carriages" leading the entire textile market, that is, the Shengze town government, the Eastern Silk Market Management Committee and the listed Oriental silk Limited by Share Ltd.

Faced with reporters, Sheng Hong Ming is no secret, Shengze will build a series of textile enterprises "aircraft carrier".

"By 2012, Shengze will have to achieve" three 100 billion ".

That is, the gross output value of the textile industry reached 100 billion yuan, and the sales volume of the market reached 100 billion yuan, and the online paction volume reached 100 billion yuan.

Sheng Hong Ming is ambitious.

According to Sheng Hongming's introduction, this year, there are 135 industrial projects in Shengze, with a total investment of 7 billion 360 million yuan, of which 12 are over 100 million yuan.

In the test of the financial crisis, Shengze is still in the opposite direction.

2. two hundred million "order" highlights strength.

The 4 square kilometers of the Eastern Silk Market "entrenched" in the old city of Shengze, near the end of the year, bustling business and prosperous life.

"Our order has been booked until January next year. If you want to make a reservation, it will be in the middle of next 1 months."

In the Eastern Silk Market, a shop owner of a jacquard manufacturing company in Jiaxing said in an interview with our reporter.

On the three ring road of Sheng Zenan, the construction site can be seen everywhere. The financial crisis seems to be far from here.

"We will take care of 32 looms this year. Next year, one person will take care of 48 units."

In the huge production workshop of Wujiang Fuhua Weaving Co., the sparse staff looked back and forth on the new loom that spit out a volume of white cloth. The chairman of the company was obviously satisfied with the scene.

"This is the first batch, and there are a group of more than 500 looms to be installed."

Shi Qing Island pointed to the busy crowd on the other side of the factory and said, "those are Japanese Tsuda Ko's staff. The looms that are installed and debugged are the most advanced water jet looms in the world today.

In March this year, when I went to Japan to buy looms in Tianjin, their global sales manager was very excited. If there were no orders this year, they would be laid off. We became a great Savior.

Shi Qing Island, the value of more than 200 million yuan of super large orders, such as in the snow, saved the Japanese enterprise Tsuda Ko.

Reporter survey found that in Shengze, Fuhua weaving is not the only expansion of the textile business.

The leader of Suzhou's private economy, Hengli Group, also aimed at the domestic industrial fiber market at the dawn of the financial crisis, and took the opportunity to launch a 200 thousand ton industrial yarn project.

"Since the price of raw materials has been lowered, Hengli's planned investment of 2 billion yuan has only cost 1 billion 300 million yuan, and it has earned 700 million yuan without production."

In December 1st, we received an exclusive interview with our reporter again. Sheng Hong Ming's voice was calm.

"In the next 3 years, Shengze will scale up the textile industry through effective input from a high starting point, and the enterprise with an output value of over 100 billion yuan should strive to double the existing 40 bases and reach 80.

Among them, Hengli output value should strive to exceed 20 billion yuan, Sheng Hong should strive to exceed 15 billion yuan, and the two of Eagle Xiang and Xinmin will have more than 5 billion yuan.

Sheng Hongming revealed.

3., "five miscellaneous places" into clusters

Shengze, Wujiang, has 120 thousand local population, 150 thousand foreign businessmen and migrant workers, and five provinces and autonomous regions. Sichuan, Fujian and northeastern people gather around a textile chain to converge on Shengze.

It is these "quick flying minds" businessmen who can make Shengze's textile supremacy remain unchanged.

It is precisely this group of textile owners who have made the traditional town of Shengze an unprecedented industrial cluster.

"There are advantages of industrial clusters and circulation."

In December 2nd, Huang Zhixiang, executive director of Xiang Xing (China) Investment Group Co., Ltd. and director of Wujiang Minnan chamber of commerce were very impressed.

He visited many places with his father, and finally invested in Shengze and engaged in textile production and trade. "Because the soft and hard conditions are relatively good here".

"Agglomeration has achieved Shengze, where the cost is lower than elsewhere."

In December 1st, Chen Fenggen, general manager of Limited by Share Ltd, China Oriental silk market, Jiangsu, said in an exclusive interview with the newspaper, "because of the high concentration of industries in Shengze, the chamber of commerce can negotiate with suppliers on price negotiations to form a cost advantage." in Wujiang,

Chen Fenggen told reporters that in 2000, Wujiang once bought 3800 jet looms once, and the price was cut down because of the large amount of procurement.

"Such a big market demand, the temptation to suppliers can not be stopped."

"Doing business here is the most cost-effective and merchants have to come."

Wang Tao, executive deputy general manager of the Oriental silk market, said: "Shengze textile industry has initially formed an industrial chain from filature, spinning, weaving, printing and dyeing, fabric processing to garment manufactures, and a supporting system integrating R & D, production, marketing, logistics and services.

The advantages of dense industries, perfect industrial chains, and strong radiation capabilities form the advantage of Shengze's "standing in a crowd".

"From a national perspective, Shengze is the most concentrated base of the textile industry. There is no such a perfect industrial chain in Shengze as elsewhere. There is no such obvious clustering effect."

Shi Qing island's view is the same.

Reporters learned that Shengze's market turnover in 2008 reached 58 billion 100 million yuan, the first 3 consecutive years of textile and apparel professional market turnover, and the surrounding Wuxi, Jiaxing and other places, have also built their own textile market, but they all failed, and did not pose a substantial threat to Shengze's textile industry.

4. smile curve to be lifted.

In fact, Sheng Zezheng, who is "strong" in the financial crisis, is facing an escalation.

At this point, Xu Ming, Secretary of the CPC Wujiang Municipal Committee, is very clear: "at present, Shengze town is vigorously solving the upgrading and innovation of the textile industry."

In November 18th, he accepted an exclusive interview with the newspaper that the Oriental silk market mainly made embryo cloth, raw materials, and few finished products.

Compared with Keqiao in Shaoxing, Zhejiang, Shengze has a large output, but the final product is relatively small. "The development of printing and dyeing is not enough. This is a problem left over by history".

"To avoid vicious competition, we must take the road of enterprise upgrading and product segmentation."

Xu Ming affirmed.

Shengze town Hua Jia group focuses on elastic silk fabric, Xinmin technology focuses on 200 thousand tons direct melt spinning project, and Fuhua family introduces 1000 international most advanced looms.

According to statistics of Shengze Town Economic Service Center, the difference rate of products of 50 main textile enterprises in Shengze has reached 80%.

"In the development of the industry, there is a famous" smile curve "theory, which is made in the middle, one end is R & D, the other is sales, and both ends are upwards.

Our textile enterprises should pay more attention to grasp the two ends of the smile curve, do research and development, sell well, enhance the R & D design ability, and strive to improve the level of market expansion, and achieve the pformation from "two ends" to "two ends" and "one end in the outside".

For Shengze's textile industry innovation and upgrading, Xu Ming painted the image of development curve.

"The most painful thing is that there is no printing and dyeing."

Huang Zhi disclosed.

He hoped that the government could help enterprises achieve "research and development through-train".

Because of the high cost of research and development, long time consuming and difficult work of confidentiality, many enterprises are reluctant to take part in the research and development of printing and dyeing.

Compared with Keqiao in Shaoxing, printing and dyeing has always been the weakness of Shengze.

"Shengze wants to" cage for birds ", the manufacturing part of moderate pfer, let smile curve laugh, and private textile enterprises laugh together.

Xu Ming believes that Wujiang must make up its mind to break through the "bottleneck" of printing and dyeing, eliminate obsolete equipment and enhance the added value of textiles, so as to form a strong market power.

Confirms Xu Ming's statement that China's East

5. international development is short of words.

"The Shengze silk price index is 100.53 points, which is basically the same as the previous week."

In December 6th, the first floor of the Oriental silk market hall, the electronic big screen announced the week's trading situation in Shengze.

This is the "Shengze index".

Earlier, more than 40 "Shengze weaving" enterprises entered the exhibition hall of the autumn fabric exhibition in Paris, France, and tens of thousands of Shengze weaving merchants went to Europe, America, Japan and South Korea to develop and sell their products.

However, the "restless" Shengze people have been trying to impact the existing survival boundary.

"100 points in China and 50 points in the world". Worries and worries lie in the minds of young managers.

This is a topic that can not be turned around: the right to speak.

"If foreign merchants come to China to buy apples, the original standard is 100 grams, and we will produce according to 100 grams.

But we found that our apple exports threatened the interests of their local businesses, so Apple changed the standard to 98 grams.

Sheng Hongming thus compares the power of discourse. "Shengze must change this situation, create industry standards and get the right to speak price."

According to the survey, Shengze textile industry is basically embedded in the global value chain in the form of production chain.

Compared with the developed countries such as the United States, Japan and Europe, Shengze textile industry is mainly concentrated on the production of textile grey cloth, and is at the bottom of the industrial value chain.

"Textile machinery is mainly dependent on imports. Fabric design, research and development and brand operation capabilities are relatively weak, which directly restricts the participation of Shengze textile industry in international division of labor.

At the same time, with the continuous increase of labor costs, the original advantages of Shengze's textile industry are losing.

Expert analysis pointed out.

In Sheng Hongming's view, if we want to change this situation and maintain the dominant position of Shengze's textile industry, we must acquire the pricing power of the textile industry.

First of all, we should start from the raw material market and take part in capital pricing.

"The reason why the Eastern Silk Market wants to build a trading platform is to seize the commanding heights of pricing power and to form a real pricing center for the Eastern Silk Market."

Sheng Hongming said.

"Use"

"Shengze's textile is very strong on the surface, but it resemble a big kitchen through the surface.

Has the final say that the raw materials are rice and vegetables, and the price is the selling of rice and vegetables has the final say.

The textile industry in Shengze is at best just being a chef. "

Wang Tao said.

6. Wall Street dream requires government power.

"Shanghai and Suzhou must be spelled out."

In Wang Tao's view, Suzhou should not abandon the development of the processing industry, because once it is abandoned, GDP will decline rapidly.

Suzhou should pursue more rational GDP and GDP with high gold content.

Increasing the added value of a product means a change in the business model.

"The best way is to create a price formation mechanism for the raw material market in Suzhou and form a price center."

Wang Tao said, "relying on the enormous advantages of the textile industry, we should create an industrial financial empire. The goal of Shengze should be to make the" Wall Street "of the textile industry.

Speaking of the textile industry "Wall Street", Wang Tao believes that the Suzhou development and Reform Commission should restructure the commodity trading market.

Textile, electronics and chemical industries are the main industries of Suzhou.

Suzhou should integrate these industries and integrate them into a large raw material and commodity trading market, forming the center of raw material price and gaining market discourse power.

"Shengze accounts for more than 20% of Wujiang's revenue, but it has little control over it."

Zhong Yonglin told reporters, "in addition to backward urban planning, Shengze

Zhong Yonglin said that the disorderly competition among enterprises in the cluster is greater than cooperation. Most textile enterprises have gradually declined in enthusiasm for new product development, and the product market cycle has been shortened due to the spread of imitation and plagiarism. The whole industrial cluster has shown great and not strong characteristics, and the core competitiveness needs to be improved.

"Strengthening coordination among government departments is very important. The government should play a leading role in promoting the formation of the price index in the Eastern market."

Zhong Yonglin said that the Eastern Silk Market Management Committee will do its best to serve well.

"What we are longing for is an upgraded version of the Eastern market. Although Shengze is small, its position can not be limited to Shengze in Wujiang. It should be Shengze in Suzhou, Shengze in Jiangsu, Shengze in China, and even become the textile capital of the world."

Huang Zhixiang believes that Shengze's accurate positioning should be the world's textile capital.