The plastic industry is currently popular saying that raw materials make “great unityâ€, bags make “dividendsâ€, and agricultural film makes “PCT moneyâ€. This sentence vividly shows the difficulties of plastic woven bags and agricultural film companies in recent years. According to the survey, at present, more than 90% of the agricultural film companies are still in a loss state, and one third of the agricultural film companies are in the state of suspension or semi-discontinuation, and 20% of the enterprises are in debt. The days of plastic woven bag processing companies are not easy. Only from 2003 to now in Shaanxi Province, more than 30 plastic woven companies have been forced to close, accounting for one-third of the total number of local enterprises. More than 500 homes.
However, in a recent interview, the reporter was delighted to find that although these two industries have been sad for several years, the industry reshuffle caused by bleak operations has begun to bear fruit. The companies that have persisted have turned around since last year.
As the main market for plastic woven bags and agricultural film is the rural areas with low consumption levels and affordable capacity, prices are difficult to increase along with the price of raw materials. In addition, the technical content of these two products is low, the industry has low barriers to entry, and the number of companies is large. Small, fierce market competition, resulting in a sharp drop in raw material prices in 2003 after the sharp decline in profits, most of them in trouble. However, in this bleak period, we are pleased to see that some of the dominant companies that have persevered have not been eliminated by the market. After the exit of some small enterprises, orders have begun to concentrate on large-scale advantageous enterprises. These advantageous enterprises are becoming more powerful.
In the agricultural film industry, Shandong Rixin, Shandong Sansu, Beijing Huadun and other enterprises have established a good brand image in the society due to their long-term commitment to new product development and production of mid- to high-end products, and their strong focus on after-sales services. Market share and profit margin have steadily increased in the past two years. Tianjin Ersu and Dalian Jiusu, etc., took advantage of the relocation mechanism, eliminated outdated equipment, increased high-end product production lines, and achieved product structural adjustment, laying the foundation for future development. The research and application project of nanometer-scale modified plastic membrane undertaken by Xinjiang Tianye Plastics General Factory has passed the acceptance of experts. The company has thus become one of the few nano-agricultural membrane manufacturers in China and is expected to become a leading company in the field of nano-agricultural membranes in China. Jilin Baishan Xifeng Plastic Industry Co., Ltd. invested 30 million yuan to build a 5000 ton/year agricultural film production line in Shaanxi. The scale expansion and technological upgrading of these enterprises have made them more competitive in the competition.
In the plastic woven bag industry, many companies, including Xi'an Jiemei Woven Bag Factory and Luohe Plastics Co., Ltd., have effectively reduced electricity bills and water bills by implementing energy-saving and energy-saving technologies and adding ice-water machines. In enterprises such as Fuping and Sanyuan in Shaanxi where plastic woven bags are relatively concentrated, some companies are forming alliances on the one hand to jointly purchase raw materials and reduce purchasing costs as much as possible; on the other hand, any company in the alliance can receive large orders once it is accepted. Decentralized to various companies to complete orders as soon as possible. In terms of product pricing, these companies have changed their own practices of fighting each other in the past and keeping prices down. This has ensured a reasonable profit for the company. Through alliances, these companies have not only been eliminated from the highly competitive market, but have made their products successful in Xinjiang, Inner Mongolia, Henan, Qinghai, Guangdong, and Southeast Asia, on the basis of occupying 40% of the province's market share. Now, these companies are ambitious to build Shaanxi Sanyuan into the “Northwestern Weaving City†known throughout the country.
In the fierce industry reshuffle process, some of the plastic film and plastic woven companies not only survived but also greatly improved their anti-risk capabilities by effectively exploring their own development path. Since the beginning of this year, both the agricultural film and plastics and woven industries have apparently recovered. The practice of producing off-season after the Spring Festival has started ahead of schedule. The operating rate of some enterprises has even reached more than 98%. According to a survey by the reporter, the profit rate of start-up companies is currently maintained at a reasonable level.
However, in a recent interview, the reporter was delighted to find that although these two industries have been sad for several years, the industry reshuffle caused by bleak operations has begun to bear fruit. The companies that have persisted have turned around since last year.
As the main market for plastic woven bags and agricultural film is the rural areas with low consumption levels and affordable capacity, prices are difficult to increase along with the price of raw materials. In addition, the technical content of these two products is low, the industry has low barriers to entry, and the number of companies is large. Small, fierce market competition, resulting in a sharp drop in raw material prices in 2003 after the sharp decline in profits, most of them in trouble. However, in this bleak period, we are pleased to see that some of the dominant companies that have persevered have not been eliminated by the market. After the exit of some small enterprises, orders have begun to concentrate on large-scale advantageous enterprises. These advantageous enterprises are becoming more powerful.
In the agricultural film industry, Shandong Rixin, Shandong Sansu, Beijing Huadun and other enterprises have established a good brand image in the society due to their long-term commitment to new product development and production of mid- to high-end products, and their strong focus on after-sales services. Market share and profit margin have steadily increased in the past two years. Tianjin Ersu and Dalian Jiusu, etc., took advantage of the relocation mechanism, eliminated outdated equipment, increased high-end product production lines, and achieved product structural adjustment, laying the foundation for future development. The research and application project of nanometer-scale modified plastic membrane undertaken by Xinjiang Tianye Plastics General Factory has passed the acceptance of experts. The company has thus become one of the few nano-agricultural membrane manufacturers in China and is expected to become a leading company in the field of nano-agricultural membranes in China. Jilin Baishan Xifeng Plastic Industry Co., Ltd. invested 30 million yuan to build a 5000 ton/year agricultural film production line in Shaanxi. The scale expansion and technological upgrading of these enterprises have made them more competitive in the competition.
In the plastic woven bag industry, many companies, including Xi'an Jiemei Woven Bag Factory and Luohe Plastics Co., Ltd., have effectively reduced electricity bills and water bills by implementing energy-saving and energy-saving technologies and adding ice-water machines. In enterprises such as Fuping and Sanyuan in Shaanxi where plastic woven bags are relatively concentrated, some companies are forming alliances on the one hand to jointly purchase raw materials and reduce purchasing costs as much as possible; on the other hand, any company in the alliance can receive large orders once it is accepted. Decentralized to various companies to complete orders as soon as possible. In terms of product pricing, these companies have changed their own practices of fighting each other in the past and keeping prices down. This has ensured a reasonable profit for the company. Through alliances, these companies have not only been eliminated from the highly competitive market, but have made their products successful in Xinjiang, Inner Mongolia, Henan, Qinghai, Guangdong, and Southeast Asia, on the basis of occupying 40% of the province's market share. Now, these companies are ambitious to build Shaanxi Sanyuan into the “Northwestern Weaving City†known throughout the country.
In the fierce industry reshuffle process, some of the plastic film and plastic woven companies not only survived but also greatly improved their anti-risk capabilities by effectively exploring their own development path. Since the beginning of this year, both the agricultural film and plastics and woven industries have apparently recovered. The practice of producing off-season after the Spring Festival has started ahead of schedule. The operating rate of some enterprises has even reached more than 98%. According to a survey by the reporter, the profit rate of start-up companies is currently maintained at a reasonable level.
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