Dye Industry Needs To Completely Reshuffle the GreatestDifficulties Facing the Project


It is reported that first half of 2009, grossindustrial output value of Chinese dyestuff industry completed 10.67 billionyuan, down 28.5% cumulative; product sales completed 9.97 billion yuan, down36.6% cumulative; export 466 million U.S. dollars, down 29 %. Such a largedecline was in the development of China's dyestuff industry has never had thehistory, the industry faced unprecedented difficulties and challenges.


HC screen Special printing network First half of2009, output value of China's dyestuff industry, Sell Revenue droppeddrastically in the industry business difficulties, some small businesses inbankruptcy, industry needs to completely reshuffle, a number of enterpriseswill be eliminated.


It is reported that first half of 2009, China'sdyestuff industry completed 10.67 billion yuan industrial output value, thecumulative decline of 28.5% year on year; completed 9.97 billion yuan salesincome, total down 36.6%; export 466 million U.S. dollars, down 29 %. Such alarge decline was in the development of China's dyestuff industry has never hadthe history, the industry faced unprecedented difficulties and challenges. Inthe second half, although the industry showed steady rise of the trend, but therecovery is slow, low-cost competition, enterprises are suffering dye thatprice-cutting. 20% of the very difficult business situation, a group of smallbusinesses are at the edge of bankruptcy.


1, Status: variable hundred million yuan ofprofits, export growth became negative


"Dye companies are propped up in hard, andnow the market is to go on prices." Produce a new dye Reactive DyesJiangsu Shen Chemical industry Co., Ltd. Sun Guoqiang, said business manager,"not as good as 2009, 2008, 2009, the price falls too low, the profit issimply no. The original can be sold for more than 40,000 yuan per ton, is now30,000 yuan are no longer marketable. 2009, our company slogan is to stabilizethe market, as far as possible without loss. can not consider money first, notbecause customers to earn money to run. "


Zhejiang Longsheng Group Co., Ltd. is currentlythe largest dye company, more than 100,000 tons annually dyes, dye industry isalso the only one listed company. The company dyes Minister Ruanhua Sen qualitycontrol division, said: "Seven eighties of the 20th century, Beijing dye dye monthly output is 30 tons, 50 tons up to the time also. Longsheng day ofproduction there are more than 200 tons. then do a ton of Beijing dye dyeprofit from 10,000 to 50,000 yuan, and we now do a ton of dye only a fewhundred to one thousand dollars profit, it is too low! "" There iscertainly great for on demand, assorted brands too. To do too much dye in theenterprise, the total production of too much. "Kuwait Trading Co., Ltd. Wujiang Fu-Ming Wu, chairman of the three with" too "to describe thedye industry's current predicament.

China Dyestuff Industry Association, said theSecretary-General Li-Ming Tian, the current market, production and demandcontradiction dye relatively large, greater than the sales situation in themiddle, so the problem is caused by vicious price competition. Products areidentical, there is a similar price competition. "Now the added value ofdyes, profit margins and prices are relatively low, this situation isunreasonable." Li-Ming Tian told that, since the dye is from the inventionof high value-added, high margin, high prices of fine chemicals. Before 1993, China in the planned economy period, the state introduced a product tax revenue, accordingto sales tax method to tax. Chemical products are generally 10% of the tax,which dye is 18% statutory tax, the maximum time has reached over 21%. Dye'shigh profit margins can be seen. But with the rapid development of industry,rapid capacity expansion, triggering disorderly competition in the market, onlythen pull down the price dyes.


"2009 negative export growth of Dyestuff aforegone conclusion, will be expected to decline to 15%." Li-Ming Tiansure that, in 2007, dye exports 284,000 tons, an increase of 13%. In 2008, thedye export 236,000 tons, down 17%. This is unprecedented in history. In 2009,as domestic demand driven, total production is essentially flat dye decreasedslightly, but exports still been greatly affected. First half of the exports of106,000 tons, down 28%. The third quarter despite the market is warming trend,exports of some recovery in the chain, but still not achieved up.


Present day dealers do not dye better than someother change management products, and some simply closed their doors.Shijiazhuang Chemical Market located in dye-based operating shops closed theirdoors.


Author is professional editor from China Manufacturers


Source: www.amazines.com