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    Will The World Shoe Base Also Go Bankrupt?

    2008/3/8 0:00:00 10345

    Jinjiang Shoe Making

    "It's a pity to see so many factories shut down every day, but now it's completely numb." Xiao Ding, a government worker in Chen Dai Town, told reporters in Jinjiang. Reporter Cong Xiaoding learned that most of the factories that shut down were small and medium-sized shoe-making enterprises engaged in processing or OEM production. Fujian Jinjiang is known as "China Shoes Capital". Only in Chen Dai Town, there are more than 3000 shoe factories, and Jinjiang has won the "world shoe making base". According to statistics, as of 2006, the number of shoes produced in Jinjiang reached 910 million pairs. Of the 5 people in the world, 2 shoes were made in Jinjiang. In 2007, as prices rose, the prices of raw materials for shoes were also rising, and the new labor contract law was promulgated, which led to a substantial increase in labor production costs. At the same time, because of the appreciation of the renminbi, the profits of exports have gradually declined, and many exports have been converted into domestic sales, which has intensified the competition in the domestic market. "A lot of small and medium-sized enterprises are closing down. We have to deal with these closed factories every day during the new year." Xiao Ding said. Some owners of small and medium-sized shoemaking enterprises told reporters that the cost of shoemaking industry is now rising, so it is difficult to compete with large enterprises. Reporters have learned that this phenomenon has aroused the concern of the local government. At the tenth Shoe Expo to be held, the Jinjiang Municipal People's government and footwear industry association first launched the hardcover area for SMEs. In this way, we can create some opportunities for small and medium-sized enterprises. Ding Zhizhong, President of Anta footwear, located in Chen Dai Town, has said that the issue of how Jinjiang's initial industrial system has further improved its quality and further enhanced its industrial competitiveness and brand influence needs attention. He hoped that the government could reduce the waste and consumption of the overall social resources through macro-control and guidance. Yang Yimin, Secretary of the Jinjiang Municipal Committee of the CPC, said: "in the future, enterprises in Jinjiang will not only have more quality than output and scale, but also have higher level R & D centers." And pointed out that the process of optimizing the development of traditional industries to high-end is far from over. We must accelerate the transition from "made in Jinjiang" to "created in Jinjiang".
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