"Tang Hua Bankruptcy" Is Blowing Up The Structural Adjustment Of Shaanxi Textile Industry.

In mid July, the largest bankruptcy case in Shaanxi, the central enterprises under the central government, announced a policy bankruptcy.

The news came out as "explosive" news, and the whole textile industry had a "crazy wind". The reasons for the bankruptcy of Tang Hua group are different.

The Tang Hua group is known as the Shaanxi Textile Group Printing and dyeing Refco Group Ltd of Tang Hua group. It is made up of 5 subsidiaries of the northwest North Cotton Company, the Northwest National Cotton Plant four, the Northwest National Cotton six plant, the Shaanxi cotton eleven plant and the West North first printing and dyeing company by the Huacheng Cci Capital Ltd, a Beijing based central enterprise, Huacheng Cci Capital Ltd.

The predecessors of the 5 enterprises were large state-owned textile enterprises established in the 50s of last century. They had a glorious history and made outstanding contributions to the economic development of Shaanxi and even the whole country.

According to reports, before the bankruptcy, 5 enterprises, Tanghua one printing has been completely shut down for 10 years, Tang Hua six cotton partial stop production, Dahua Company, Tanghua Sanmian serious losses for many years, at any time faced with a total shutdown, Tang Hua four cotton survival difficulties.

Reporters have repeatedly called Tang Hua group, the relevant person of the enterprise said, "we are in rectification, bankruptcy, do not accept interviews."

Regarding this, Li Zhaoli, Secretary General of Shaanxi Textile Association, said in an interview: "the bankruptcy of Tang Hua group is a good thing. It can be carried out in a new look through mechanism pformation, debt decomposition and reorganization."

The bankruptcy of Tang Hua Group has sounded the alarm for the current Shaanxi textile industry, which is losing money.

Downward movement

According to Li Zhaoli, Shaanxi textile industry with a series of development conditions such as "good resources, good foundation of textile industry, well-equipped facilities" and its total output value accounted for 14.5% of the total industrial output value of the whole province in 1988.

"Entering the mid 90s of last century, Shaanxi's textile industry began to suffer losses for many years."

Li Zhaoli said that although Shaanxi's textile industry has been developing fastest and has the best economic efficiency in recent years, it is still in a state of deficit in 2006.

According to statistics, the main business income of textile industry in Shaanxi province was 7 billion 994 million yuan in 2006, accounting for only 0.33% of the total share of the country, ranking twentieth. The loss of the textile enterprises above Designated Size reached 47.50%, higher than the average level of 15.20% of the whole country, and the textile industry completed eighteenth of the total value of export delivery in the whole country.

In the 1-5 month of this year, the textile industry above designated size enterprises completed the total industrial output value of 3 billion 447 million yuan, an increase of 9.73% over the same period last year, and a loss of 108 million yuan, representing an increase of 77 million 840 thousand yuan over the same period last year.

Three factors restrict development

Shaanxi is a "textile province". This labor-intensive industry has made outstanding contributions to the state's employment, foreign exchange earnings and people's livelihood. Why has the development in recent years stagnated or even retrogressed?

Li Zhaoli believes that the textile industry in Shaanxi is actually developing, but the speed and benefits are not very obvious. Among them, the main reasons are as follows:

First, Shaanxi's textile industry is dominated by state holding. Although most of the enterprises have been restructured, the pace of restructuring is slow, and business managers still have no fundamental change in their ideas and methods.

Two, the industrial structure is irrational.

From the industry point of view, the added value of products is not high, and industrial capability is not matched, which weakens the competitiveness of some advantageous industries.

In addition, the price of raw materials such as cotton continues to rise, and the price of products can not go up. The profit margins of enterprises are getting smaller and smaller.

The three is the serious shortage of investment, which is also the most important reason restricting the development of the textile industry.

From 1990 to now, the average annual growth rate of fixed assets in Shaanxi's textile industry has been lower than the national average.

The serious shortage of funds has restricted the technological pformation, scale expansion and upgrading of products, and the total amount of spindles in the province is only 1/3 of that of a private enterprise in Shandong.

Seek breakthroughs

"When state-owned enterprises continue to decline, private enterprises have become the new strength of Shaanxi's textile industry."

Li Zhaoli said.

At present, the private cotton textile industry has gathered and developed in counties, towns and towns in Xi'an, Baoji, Xianyang and Weinan. The total industrial output value is about 1 billion 300 million yuan, and the regional textile and garment industry cluster has taken shape.

In the first half of 2008, Shaanxi textile industry economic operation analysis meeting, Zhang Fengying, director of Shaanxi textile office, said that the future development of Shaanxi textile industry indicated that Shaanxi is still facing good opportunities for development. First, the government attaches importance to Shaanxi's textile industry and the support and service of relevant policies; two, with the textile industry pferring to the central and western regions, Shaanxi textile industry has obvious comparative advantages in raw materials, labor, energy and land resources.

Experts in the industry suggested that the future development of Shaanxi's textile industry should combine its own unique resource advantages and take the road of distinctive development to break the old pattern.

In the direction of developing high and new functional textile and garment industry, we should do fine and strong cotton textile industry, vigorously develop garment industry and textile equipment manufacturing industry, actively support the printing and dyeing industry, and develop the potential of silk and wool textile industry.

Combine market development with industrial chain extension, and innovate and develop Shaanxi's own brand.