Profitability Declined, Leather Industry Entered Middle And Low Speed Growth

In the first half of 2015, the leather industry's economic operation was generally stable, but profits began to become weak.

Under the new normal

The industry has shown the following main characteristics in its economic operation:

1. major economic indicators such as output of main products, main business income, profits and taxes, profits and so on showed a low and medium speed growth trend, reflecting that the leather industry has entered a period of adjustment after experiencing more than 10 years of rapid growth.

According to the statistics of the National Bureau of statistics, the leather industry in the first half of the year achieved a total revenue of 627 billion 737 million yuan, an increase of 6.47% over the same period last year, and realized a profit of 38 billion 452 million yuan, an increase of 4.06% over the same period last year. The profit and tax was 56 billion 575 million yuan, an increase of 5.39% over the same period last year.

The output of light leather was 285 million 500 thousand and 300 square meters, an increase of 0.86% over the same period last year, and the output of leather garments was 35 million and 100, an increase of 0.55% over the same period. The output of natural fur clothing was 2 million 233 thousand and 400, an increase of 4% over the same period last year. The output of leather shoes and boots was 21.34 million pairs, an increase of 2.13% over the same period.

2. the pattern of exports far greater than imports has not changed, but export growth has slowed down.

And exports of its products declined year-on-year.

According to customs statistics, in the first half of the year, the leather industry achieved a total export volume of US $42 billion 413 million, an increase of 3.97% over the previous year, of which the total export volume of leather and its products industry was 15 billion 422 million US dollars, an increase of 9.73% over the same period last year. The gross export volume of fur and its products industry was 1 billion 102 million US dollars, up by -6.17% compared with the same period last year; the footwear industry reached 25 billion 889 million US dollars in total exports, an increase of 1.27% over the same period last year.

Imports amounted to US $4 billion 850 million, an increase of 6.04% over the same period last year.

Three

Profitability is weakening, and business is in trouble.

In the first half of the year, the number and amount of losses increased. According to the statistics of the National Bureau of statistics, the number of enterprises in the leather industry in the first half of the year was 1064, an increase of 110 over the same period last year, an increase of 23.01% over the same period last year. The deficit was 1 billion 776 million 468 thousand yuan, an increase of 13.78% over the same period last year.

4. the pressure of energy saving and emission reduction and environmental protection is increasing.

In April 16th, the State Council's "water pollution control action plan" put a clear control over pollutant emissions and made special efforts to improve the ten key industries.

As one of the 10 major polluting industries, the leather industry must adopt new measures to prevent and control water pollution.

Tanning enterprises will be subject to public supervision. In order to achieve new emission standards, enterprises should adopt cleaner production technology.

By the end of 2016, all small tanneries will be ordered to close.