China Textile Association Jiangsu Research: Government And Enterprises Work Hard To Cope With The Dilemma

At the beginning of March, a group of 10 people from China Textile Industry Association, under the guidance of vice president Xu Kunyuan and vice president Zhang Yankai, went to Jiangsu textile industrial base city (county) for special investigation.

The survey visited 6 of the 8 textile industrial clusters in Jiangsu, and 17 of the 23 town level industrial clusters. It also conducted research on chemical fiber, cotton wool, fabrics, clothing, home textiles and other industries, held 6 seminars, 66 participating enterprises, and visited 20 enterprises and 2 professional fabrics and home textile markets on the spot.

According to statistics, in 2007, 9934 Industrial Enterprises above Designated Size reached 750 billion 700 million yuan in industrial output value, up 17.49% from the same period last year, and the output value ranked first in the country. The total export of textiles and clothing was 26 billion 320 million US dollars, up 16.16% over the same period last year, and the export volume ranks third in Jiangsu.

In the 1~11 month of 2007, the business revenue of 10014 major enterprises above Designated Size in Jiangsu province reached 669 billion 800 million yuan, an increase of 18.28% compared with the same period last year, with a total profit of 23 billion 158 million yuan, an increase of 24.58% over the same period last year.

There are about 2 million 70 thousand employees in these 10014 enterprises.

The industry cluster that this research involves, the main revenue in 2007 has achieved steady growth.

For example, 159 Enterprises above Designated Size in Jintan have realized the main business revenue of 7 billion 967 million yuan, with profit of 450 million yuan, an increase of 39% and 66.53% respectively compared with that of the previous year. The sales revenue of Wujiang textile industry increased by 76 billion 300 million yuan, an increase of 23.5% over the same period last year, and the profit of 1 billion 951 million yuan was reduced by 30% compared with that of the previous year. The sales revenue of 775 Enterprises above Designated Size in Changshou City increased by 58 billion 300 million yuan, an increase of 1 billion 951 million yuan over the same period last year, and the profit was increased by RMB compared to the same period last year.

In the face of the general difficulties faced by the textile industry in 2008, there are two different mindsets in the survey enterprises.

Some enterprises that focus on product research and development, brand building, standardized management and employment, and actively fulfill corporate social responsibility construction have maintained a cautiously optimistic attitude: "textile enterprises have always been sad every year, and they are good year after year.

This year's foreign trade situation is rather grim, but our advantages are still there.

In addition, most small and medium-sized enterprises that rely on orders for development are lament and lose confidence in the prospects of the industry: "in history, it has never been so hard as this year, so many negative factors have been stacked together, and most textile enterprises will fall out, and the industry can not do it."

The survey found that the actual operation situation of Jiangsu textile and garment enterprises in 2008 1~2 is not optimistic.

Take Jiangsu CHENFENG group as an example, in 2008, 1~2 months, sales reached 258 million yuan, an increase of 50 million yuan compared with the same period last year, and exported 16 million 730 thousand dollars, an increase of 2 million US dollars compared with the same period last year. The tax revenue was 10 million 700 thousand yuan, a decrease of about 1/3 compared with the same period last year, with a profit of 8 million 340 thousand yuan, a decrease of about 2/3 over the same period last year.

The morning wind group is a large enterprise with advanced equipment, advanced use system and high management level, and its operating condition is still so. The situation of most small and medium-sized enterprises can be imagined.

According to the leadership of the Party committee of Shengze Town, Wujiang, the stock before the Spring Festival in Shengze increased from 1 and a half months to 2 and a half months.

　　政企通力應對困局

In the 6 industrial clusters (counties) visited, enterprises engaged in foreign trade generally regarded the appreciation of RMB and the reduction of export tax rebate rate as the biggest killer of profits.

In the 1~2 month of 2008, the appreciation rate of RMB was 2.72%, and the appreciation rate was 6.9% last year.

Because of the 3~4 months from the signing of a business order to the settlement of foreign exchange, many enterprises are losing a lot of money.

At the same time, because domestic production capacity is sufficient and export competition is fierce, the exchange rate loss of mass products can not be pferred to export prices, resulting in a reduction in actual profits.

In view of this situation, the vast majority of enterprises mainly rely on strengthening management to digest and increase costs.

On the one hand, efforts should be made to reduce costs, improve technology, maintain cost competitive advantages and create brands, and on the other hand, implement various strategies to deal with exchange rate sales management and financial management.

For example, we should actively expand the market space, open up and foster international high-end and high-end markets, enhance the cooperation with foreign high-end customers through the upgrading of products from low to middle and high grade, and gradually establish stable overseas sales channels, so as to achieve the pformation from low profits to large profits.

President Xu Kunyuan also pointed out that enterprises should make the earliest possible settlement date in advance.

At the time of signing the contract, make the earliest payment date as early as possible, and settle the bill immediately after receipt of the foreign exchange.

In addition, the way of prepayment is also a better choice.

According to Zhang Jianshi, executive vice president of the Nantong textile and textile association and Zhang Jianshi, chairman of the board of directors of the group, the US dollar settlement through the establishment of a branch office in the United States has solved the exchange rate problem brought about by the appreciation of the renminbi.

Tongzhou City People's group, the big rich textile and other enterprises are actively negotiating with customers, sharing the losses caused by exchange rate changes.

In the process of investigation, many enterprises reflect that there are many rumors about reducing the export tax rebate rate.

At the symposium in Jintan, Changshu, Wujiang and Nantong, many entrepreneurs have heard that the export tax rebate rate in May or June will continue to fall by 2~4 percentage points.

Most enterprises understand the government's tax rate policy and realize that the export tax rebate will eventually withdraw from the historical stage. However, we hope that the government will consider the current difficulties of enterprises and do not adjust the tax rate frequently.

Moreover, enterprises believe that the export tax rebate rate reduction is a very fair policy.

Because all enterprises in China must accept this policy. In the medium and long term, the export price of Chinese textiles will be generally raised.

From the understanding of the forum, the impact of the implementation of the new labor contract law on enterprises is mainly reflected in the following three aspects.

One is to bring the cost of labor to rise; the two is that the content of social insurance required by the new labor contract law puts enterprises in a dilemma; the three is the contradiction between the requirements of the new labor contract law and the particularity of textile enterprises.

Enterprises are also generally aware that enterprises must maintain stability and script src=> if they want to maintain sustainable development.