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Official Response Denied That Shoe Companies' "Closing Tide" Is Coming.

2011/7/25 11:24:00 47

Shoe Enterprises Collapse In Dongguan

Recently, reports about "Dongguan's collapse" have been overwhelming. Many reports quoted people from the textile industry association as saying that this round of manufacturing difficulties led to 10% of Dongguan's textile enterprises overwhelmed.


Does Dongguan report the "failure of enterprises" in the above report? Huang Yi, director of Dongguan SME Bureau, responded: "this may be only a few phenomena, but needs to be understood again." Chen Xiangyou, vice president of Dongguan toy industry association, also denied the "collapse tide". He said that every year there were businesses failure, and every industry would have such a phenomenon. At present, the closure is only one or two, and it can not explain any problems.


It is understood that raw materials Rise Dongguan enterprises are struggling because of increased labor costs and tight money. Besides, Shortage of funds The problem has always been the "pain of the heart" of the small and medium-sized shoe and clothing enterprises in Dongguan. According to insiders, Mr. Xian revealed that nearly 90% of the small and medium-sized shoe and clothing enterprises in Dongguan are suffering from the shortage of funds, so they will also use other methods to ensure the circulation of capital, that is, the exchange of raw materials.


Zhou Dewen, President of Wenzhou Association of small and medium enterprises, said: "at present, not only is the Pearl River Delta, the Yangtze River Delta footwear and other small and medium-sized enterprises, but the national small and medium shoes and clothing enterprises have reached a new round of survival crisis."


Shortly before the second China private enterprise investment and Financing Conference held in Zhejiang, the moderator asked the guests from all walks of life of the government and Industry: in the next two or three years, the number of small and medium-sized shoe and clothing enterprises in Zhejiang will collapse. The answers to the questions are more concentrated. Most of the guests wrote: 20%.


"If we reach 20%, the collapse will come. If the government has good policies, the failure of enterprises will not rise to 20%. If there is no policy, it will deteriorate further. Economist Gu Shengzu reminded him at the meeting. In fact, in Wenzhou, many shoe and clothing brand entrepreneurs tell us that in recent years, people have long been reluctant to do business. From the real economy, some of the money is concentrated in real estate, stocks and resources, while the other part goes to usury, private equity, capital operation and other fields.


But in official statistics, " Collapse tide "It may have attracted eyeballs. However, the majority of shoe and clothing enterprises are operating in a meager profit, losing money, and even reducing the production scale to the limit. This is an undisputed fact. A survey by the Wenzhou economic and Trade Commission showed that in the key export oriented enterprises, the loss accounted for 1/4, while only 30% of the enterprises maintained a profit growth. The average profit rate of the industry is 3.1%, and the profit margins exceed 5% of the enterprises are less than 10.

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