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    The "Cold Spell Of Manufacturing Industry" In Small And Medium Sized Enterprises In The Pearl River Delta Region

    2011/8/4 16:15:00 53

    Pearl River Delta Small And Medium Enterprises Manufacturing Industry

    At 2 p.m. on July 29th, Li Ganqiu, deputy director of the comprehensive Department of Dongguan economic and Information Bureau, took the front desk personnel to the first floor and the two floor of Senna city Jiayuan, and led the people who came to report to the small conference room on the two floor.


    These people came to participate in the SME Media Forum held by the Council. There were 6 enterprises and 3 media.


    At 2:30, the symposium began.

    The leaders of the 6 enterprises have introduced the operation of their enterprises in the first half of the year and their expectations for the second half of the year.

    Li Ganqiu also produced a lot of statistical data to illustrate the status of SMEs in Dongguan.


    The symposium held by Dongguan economic and information bureau is a microcosm of Dongguan municipal government's crisis public relations.

    They have only one purpose to prove that Dongguan has not experienced the collapse of SMEs.


      

    Collapse tide

    Looming?


    One stone stirred up waves.

    A local media report on the closure of SMEs has pushed Dongguan to the cusp.

    According to the report, with the sudden collapse of the veteran toy enterprise "Su Yi" and the textile enterprise "Ding Jia", a cold wave of manufacturing industry in Dongguan once again attacked the entire manufacturing industry.


    Subsequently, a member of the National Federation of industry and commerce also said that the Federation of industry and Commerce has just completed a large survey of small and medium-sized enterprises in 17 provinces and cities. The results of the survey show that the current SME survival is very difficult, even more difficult than the beginning of the 2008 financial crisis.


    As a result of this news, the whole city of Dongguan was plunged into panic.

    The owners of small and medium-sized businesses are in danger, and raw materials suppliers and banks are pushing money to enterprises. Traders are also calling to inquire about the situation of the processing plant.


    The development of events soon drew the attention of the Dongguan municipal government.

    On the afternoon of July 20th, at the twelve plenary session of the eight plenary session of the Dongguan municipal Party committee, Jiang Ling, vice mayor of Guangdong, focused on the current outsiders about the "collapse tide" of enterprises in Dongguan.

    He said that Dongguan not only did not exist "collapse tide", but after the baptism of the financial crisis in 2008, the growth of import and export and domestic sales of enterprises showed a steady increase.


    The Dongguan economic operation in the first half of 2011, released by the Dongguan Statistical Bureau and the Dongguan investigation team of the National Bureau of statistics, also said that the main development indicators of the city's foreign trade and economic cooperation increased steadily.

    Imports and exports totaled 62 billion 471 million US dollars in the first half of this year, an increase of 14.1% over the same period last year.

    Among them, total exports amounted to 35 billion 700 million US dollars, an increase of 15.9%; total imports amounted to US $26 billion 771 million, an increase of 11.8%.


    Meanwhile, the first half of the year

    Dongguan

    A number of high-quality enterprises have also been introduced.

    Data show that from 1 to June, Dongguan signed 846 new projects, an increase of 493 over the same period, and 1 billion 988 million dollars in contractual foreign investment, an increase of 78.68% over the same period last year.


    "What does this increase mean? If an enterprise fails to do business, it will not increase investment.

    The choice of enterprises to invest in Dongguan also indicates that Dongguan's current situation is obviously better than that of other regions.

    Jiang Ling said.


    In addition, the number of small and medium-sized enterprises in Dongguan is also declining year by year.

    Statistics show that Dongguan City 1-6 months of shutdown and foreign pfer of foreign-funded enterprises 266, a year-on-year reduction of 11, down 4%, the number of shutdown enterprises in the normal level.


    "Although the local SMEs do not have strict statistics, the data reported from the towns do not appear to be vacant.

    The survey results of Dongguan Toy Association and textile and garment industry association also showed that there was not a large number of business failures in this city.

    Li Ganqiu said at the forum.


    A person in charge of the Finance Department of a branch of a bank in Dongguan, Guangdong, who does not want to be named, said that the number of small and medium-sized enterprises in Dongguan has been decreasing year by year since 2008, and the rate of reduction has been greatly reduced.

    This year, the bankrupt enterprises are not from the core enterprises in the industrial chain.


    "Judging from the speed of withdrawal of loan funds, there is no obvious difference in the first half of this year, far from being hurt.

    The bad loan rate is still in the controllable range.

    Facing the rumors of collapse, the person in charge of the service is in charge.

    Small businesses

    Industry customer group is still full of confidence.


    The pressure is increasing.


    Although the collapse has not occurred, it can not be denied that the pressure of SMEs is increasing.

    In the first half of this year, the industrial added value of Dongguan enterprises increased by 11.5% compared to the same period last year, down 11.2 percentage points from the first quarter.

    Corporate profit growth also dropped by 8.8 percentage points over the first quarter.

    In the first half of the year, the deficit of Dongguan enterprises did not reach 52.4% of the financial crisis, but it was also up to 26.7%.


    The analysis of Dongguan foreign trade and Economic Cooperation Bureau has resulted in the increase in operating pressure mainly due to the reduction of orders.

    Because of the low consumption in Europe and the United States, a large backlog of dealer inventories, especially in the two quarter of this year, is basically in the state of "de Stocking", and more than 30% enterprises have indicated that orders have dropped.

    Two is the rapid rise in operating costs.

    It mainly includes the rising cost of raw materials, the continuous rise of labor costs and the rapid appreciation of RMB.

    The three is the drop in profits.

    Because of the rapid rise in costs, and the low consumption in Europe and the United States, the price of products has been difficult to improve. The profits of enterprises have been declining under the pressure of internal and external pressures, and some enterprises have even suffered losses.


    How to avoid the generalization of individual problems will become the top priority of the Dongguan municipal government in the second half of the year.

    {page_break}


    Qi Xiaobin, director of Dongguan Qi Le toy factory, suggested that the biggest pressure for small businesses below 100% is the price increase of raw materials.

    Can the state do something to control the rising price of raw materials?

    "Now the net profit is about 7%, if it is less than 5%, it is better to go to work."


    The biggest problem facing medium-sized enterprises with more than 1000 people is financing.

    The manager of Weihong group, Dongguan, said that if the company develops to a certain scale, if it wants to be bigger and stronger, it will have to go further.

    upgrade

    To pform and create and develop their own brands, all these require a lot of money.

    But the plant is rented and cannot be mortgaged. It is very difficult to get loans from banks. It is hoped that the state and local governments will be able to open the door to financing for enterprises.


    On the afternoon of July 30th, in the Xian Sha Industrial Area of Gao town, Dongguan, five or six owners of small and medium-sized enterprises gathered to discuss how to make loans to the banks.


    "Because the formalities are very troublesome, the examination and approval threshold is also very high.

    Enterprises have not considered such channels before. "

    The bosses told reporters.


    In the information provided by the person in charge of the Dongguan branch of a bank in Guangdong, the loan of small and medium-sized enterprises seems to be a difficult task.


    "At the beginning, some enterprises also had about 10 million of assets, even mortgages. We still issued loans in time after examining and auditing, and now the successful enterprise assets are billions of dollars.

    This will take 10 years. "

    The official said, "Dongguan has been known as the" financial oasis "and the loan channels are very smooth.


    On the other hand, it is hard to get loans, but it is a little help.

    Although there are many channels for corporate loans in the financial products of major banks in Dongguan, the asymmetry of information on both sides has become the shackles of development.


    This will bring greater pressure to Dongguan's next step in the pformation, upgrading and development of enterprises.


     

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