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    China Textile Industry Association Understands Small And Medium Sized Textile Enterprises Affected By Epidemic Situation

    2020/2/19 12:12:00 33

    Small And Medium EnterprisesSmall And Micro EnterprisesSampleResumptionResumption Of ProductionEpidemic PreventionEpidemic PreventionEpidemic Prevention And Control

    On February 2020 6~14, in view of the impact of new crown virus pneumonia on small and medium sized textile enterprises, the China Textile Industry Management Association carried out a questionnaire survey among its member units, hoping to understand the urgent needs of small and medium-sized enterprises and formulate policy recommendations to help enterprises tide over difficulties. A total of 15 questions were collected and 109 questionnaires were collected.

    I. Basic Situation

    The 109 companies involved in the survey came from 16 provinces and municipalities in China, covering yarn, fabrics, knitting, clothing, industrial use and other fields. Among them, 36.7% came from Hubei province.

    Of the 109 participating enterprises, 85.32% were private enterprises and 8.26% were state-owned enterprises.

    Among them, the number of employees is 20-50, accounting for 30.28%, followed by 300-1000, accounting for 22.94%.

    The proportion of local employees (long-term residence) of enterprises is more than 80%, accounting for the largest proportion, reaching 38.53%.

    Two, production and operation

    In the 109 enterprises, the average annual operating income in the past five years reached 10 million yuan -5000 million, accounting for 31.19%, while the 1 million yuan -300 million accounted for the least, 7.34%.

    The proportion of fixed costs undertaken by enterprises during the period of delayed reemployment is labor cost, fixed rental of real estate equipment, taxes and fees, financing cost, cost of raw materials, and other (energy consumption, delay in delivery liquidated damages, logistics).

    In the survey of enterprises expected to return to work, 63.39% of enterprises were delayed more than 15 days before the plan before the Spring Festival, and only 1.83% did not delay.

    The main reasons for the delay in resuming work are local government's delay in demand, worry about the spread of the epidemic, the failure to return to the post due to traffic control, problems in raw materials and upstream supply, the difficulty in reaching the strict disinfection requirements under the epidemic situation, the problems in the capital chain and the stagnation of sales in the department stores.

    65.14% of enterprises thought that the epidemic caused a great loss, 22.02% of the enterprises thought that caused serious losses, only 0.92% of the enterprises thought that there was no loss or more revenue.

    At present, the main concerns of corporate leaders are employee health, cancellation of orders or extension of liquidated damages, how to operate after reemployment, personnel costs, cash flow and repayment.

    It is estimated that only 22.94% of enterprises will recover their productivity before 2 months after the resumption of work, nearly 60% of enterprises believe that there is some difficulty, and 17.43% of enterprises think it is difficult to recover.

    Three, measures and suggestions

    In view of the impact of the epidemic, the measures that have been or are expected to be taken by the investigated enterprises in turn are: applying for loans, subsidies or special funds support, etc., innovating product services, expanding new channels and new businesses such as e-commerce, telecommuting, promotion or promotion, reducing salaries or cutting staff, subcontracting orders, and investing overseas. It is worth noting that 23.85% of the enterprises have no measures at the moment and 2.75% of the enterprises choose to withdraw from the stop loss.

    At this stage, enterprises are most urgently supported by the government.

    In addition, some enterprises have proposed that the government should further introduce relevant policies and measures to help enterprises resume work and re production, such as reducing rent, timely providing anti epidemic materials, helping to do well in work safety, giving orders and financial assistance, making more stock concessions, etc., as well as helping enterprises with technical superiority to effectively link with qualified professional protective products enterprises.

    Four, summary

    Analysis shows that epidemic control is changing to the right direction. As of February 17th, the number of new cases increased to zero, and the number of new cases outside Hubei increased by 13, and 31 provinces and municipalities were cured and discharged.

    At present, domestic personnel flow and logistics control are severe. International restrictions on travel and trade of PHEIC have been launched. Meanwhile, the spread of the virus in the world has brought some influence to international trade. At this stage, we are faced with the primary task of defeats the virus, and the resumption of production is also imminent. If the industry chain and supply chain can not be cleared as soon as possible, the processing advantages of China's textile industry may continue to weaken, and orders will be diverted to Southeast Asia and Africa. Once the substitution is formed, it will lose the solid foundation laid down by the textile industry in the past 70 years since the founding of new China.

    In view of the grim situation, on the one hand, it is suggested that other local governments outside Hubei Province as soon as possible introduce measures to promote the comprehensive resumption of the textile industry under protective conditions, especially the upstream and downstream supporting enterprises of masks and protective clothing. On the other hand, it is suggested that all local governments introduce measures to reduce taxes, rent and interest on loans for small and medium textile enterprises, and further increase their support. At the same time, we should take measures to stimulate consumption and boost industry confidence.

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