Quanzhou's Smes Are Trapped In A Depressed Market &Nbsp; Worry Is Better Than 2008.

　 Core tips

Recently, the China Federation of logistics and purchasing announced the purchasing managers' index (PMI) of China's manufacturing industry in November 2011, which was 49%, compared with 50.4% in October, a sharp drop of 1.4 percentage points. This is the first time that the PMI index has fallen to the decline line since 2009 March. The finished goods inventory index has increased 2.8 percentage points, and the new order index has fallen 2.7 percentage points.

　　 Quanzhou The manufacturing industry in Fujian has always been the most dynamic in the province. After 32 months of the PMI index falling below 50% for the first time, what is the status of Quanzhou's manufacturing industry? Reporters recently visited Quanzhou, Jinjiang and other places, and found that compared with the 2008 economic crisis this year, Economics The situation is even more worrying for small and medium-sized manufacturing enterprises, because in addition to being trapped in the market downturn, this year's new predicament is the rise in raw materials and the steep rise in labor costs. Many SMEs have been ready for a long "cold spell". But reporters also found that many local large enterprises, because of their forward-looking layout of the domestic market, to enhance R & D level, this year's performance has been much higher than in previous years.

[enterprise survey]

European buyers are also playing the market.

Miss pan is the head of the Export Department of a medium-sized light industrial company in the North Peak Industrial Area of Quanzhou. The company has a large product line. Besides bags, children's clothing and stationery are also available. In her eyes, this year's market has been bad, especially in the second half of the year, even in 2008, the economic crisis is not as disappointing as it is now.

One of the main manifestations of the decline of confidence is that many OEM companies are increasingly afraid to take orders. An important reason is that it is difficult to guarantee the payment of goods. Some buyers in Europe are beginning to play rogues, and some are in arrears, so that some enterprises can not even get the money back.

"This situation will continue for a long time, and it is hard to say when it will be better." Miss Pan said that the improvement of the economic situation should be a long process.

　 The cost of raw materials is high and the profit of enterprises is thin.

Unlike other manufacturing enterprises that are trapped in the European market, many manufacturing enterprises in Quanzhou are under pressure from another side, high raw material prices and labor costs rising steadily each year.

Jinjiang Olympic gold knitted garments Co., Ltd. is the first group of swimsuit production and processing enterprises in Jinjiang, but Ding Mingquan, chairman of the Austrian knitting garments Co., Ltd. is increasingly aware of the cost pressure from production.

Ding Mingquan said knitting in recent years clothing The prices of raw materials such as spandex and nylon continue to rise. The original spandex, which is only 60 thousand yuan per ton, is now up to seventy thousand or eighty thousand yuan. However, it is rare to see that the raw material has fallen, but it has also fallen slightly.

"In the past few months, our orders have fallen very obviously, and profits are getting thinner and thinner." Ding Mingquan told reporters that the past September to December should be sales promotion time, but this time this year, the order volume has dropped significantly, the order is much worse than the same period in previous years.

Cai Yulan is the sales director of a trading company in Quanzhou. When reporters wanted her to talk about the current manufacturing situation, she blurted out four words, "internal and external troubles". Cai Yulan told reporters that their downstream foundry enterprises, on the one hand, the market is not enough to eat, on the other hand, the cost is choking with food. Cai Yulan believes that in addition to the clothing industry, footwear enterprises are also facing the pressure of rising costs.

The reduction of orders, the high price of raw materials and the rising cost of labor are not only a problem for Ding Mingquan, but also a reporter from a number of responsible persons of small and medium-sized enterprises in Jinjiang. At present, the problems reflected by Ding Mingquan are basically the common challenges faced by Quanzhou's manufacturing industry, and will continue to drive down the profit margins of enterprises. {page_break}

Large enterprises should have less influence on domestic distribution ahead of schedule.

"This year, some of our customers are turning to Vietnam for supply, which is more price advantage than ours." Cai Yulan, head of sales in a trading company in Quanzhou, believes that the price advantage of local foundry enterprises has been gradually reduced, and the main reasons are three reasons: first, the price of raw materials has been rising repeatedly, which has further reduced the profit margins of enterprises; two, the cost of labor and management has been constantly improving, not only the salaries of ordinary workshop workers, including management personnel, but also the rise of these gains, and these gains are irreversible; three, the appreciation of the renminbi and the purchasing power of foreign markets are low, these factors also affect the future trend of Quanzhou OEM enterprises.

This year's manufacturing profit is also thinning. An important reason is that the cost of labor is getting higher and higher. According to the latest statistics of this year's Austrian gold company, the company analyzed the cost of labor alone this year, its expenditure is 44.3% higher than in previous years, and the wages of workers jumped from nearly 2000 yuan last year to nearly 3000 yuan. The wages of Cai Yulan's "Turner" also rose from 2400 yuan to 3000 yuan.

As for how to look at the trend of the next manufacturing industry, Cai Yulan is blunt. "We have been prepared for a year."

Compared with small and medium-sized enterprises, the present situation of large enterprises is much more relaxed than that of small and medium-sized enterprises. Insiders say that the main products of large manufacturing enterprises are domestic sales, plus more scientific internal management and perfect layout of the domestic market, which are less affected than small and medium-sized enterprises.

　 [dialogue Association]

Internal management of small and medium-sized enterprises needs to be strengthened

In December 5th, the reporter interviewed the Deputy Secretary General of Fujian zipper chamber of Commerce and Zhou Yiyang, a researcher at the Chinese Academy of management sciences. He believes that some small and medium-sized manufacturing enterprises themselves are not scientific enough to manage, and are unable to resist the crisis in the face of a poor external economic environment. Therefore, small and medium-sized enterprises need to strengthen their own internal management and continuously enhance their competitiveness in the industry, so as to ensure that they will not be confused when they encounter the economic downturn.

Zhou Yiyang said that in China's zipper capital Jinjiang, the number of zipper enterprises is relatively large, and competition is fierce. There are many famous international zipper enterprises such as Xun Xing and Fuxing. However, the development trend of these large and medium-sized enterprises is very optimistic this year. The reason lies in the early layout and perfect internal management of large and medium-sized zipper enterprises.

"This year is indeed a bit bad." Cai Yirong, the head of Quanzhou footwear industry association, said that the overall situation of footwear industry will be slightly worse than that of the same period last year, whether from domestic sales or export sales. However, Quanzhou's footwear manufacturers are at the forefront of the domestic market, and the scale of enterprises is larger, and their management is also more scientific, and their ability to resist risks is stronger.