Zhuzhou Daily, Palm Zhuzhou Reporter/Liu Yi
Correspondent/Liao Jianxiang
"It's still soaring, one price a day, and everyone has no bottom in their hearts." As of November 5, Li Yi could only watch the overseas orders of nearly 10 million yuan sigh, because "the product could not be quoted, did not dare to take orders."
Since September this year, a "big war" of fireworks raw materials and shortages has spread to the whole country, which is unprecedented and has brought a lot of impact to the fireworks industry. The pressure was quickly transmitted to the production enterprises, and the fireworks orders changed from "fragrant food" to "hot potato". "Stop production, the order can not be delivered on time, lose credibility; do not stop, you will lose money." Li Yi is the general manager of Liling Jili Firecracker Fireworks Co., Ltd., and he spoke out the voice of fireworks manufacturers.
"In 41 years in the industry, the first time I have encountered such crazy price increases"
"From 8 o'clock today, the price of potassium perchlorate will be raised by 3,300 yuan per ton on the original basis." On November 2, a raw material supply enterprise in Asbestos County, Sichuan Province, sent a price adjustment letter to the Liling fireworks production enterprise.
"Potassium perchlorate is used in large quantities, and there is no substitute for it." Deng Lin, general manager of Liling Caifeng Fireworks Co., Ltd., said that the price of potassium perchlorate was about 8,000 yuan per ton before, and now it has risen to 23,000 yuan, and the alloy of necessities for making fireworks has also risen by more than 10,000 yuan per ton.
"Fireworks raw materials rose across the board, and the increase was very large, even doubled." Zhou Xiaoyan, secretary general of the Liling Fireworks and Firecrackers General Chamber of Commerce, was blunt, and he had dealt with the fireworks industry for 41 years, "The first time I encountered such crazy price increases, I couldn't even buy it." ”
"The warehouse capacity is limited, coupled with the fact that the raw materials are controlled products, cannot be stacked indefinitely, and the reserves of production enterprises are not large, about a month." Deng Lin introduced that in the past, when the production season came, the raw materials would be slightly raised once every year, about ten points, but now in the short term, they have soared, which they did not expect.
Zhou Xiaoyan analyzed that with the recent policy documents on the dual control of energy consumption in many underground, all kinds of high-energy-consuming and high-pollution industries have stopped production and stopped work, production capacity is limited, and the supply of raw materials is tight.
In the price adjustment letter sent by the above-mentioned enterprises, it is also written: "Due to the sharp and sharp rise in electricity, raw materials and auxiliary materials, the cost of products has increased significantly. ”
In the face of recent large price fluctuations, some raw material companies have issued a notice: this year only supply raw materials to old customers, and no new customers will be added. And clear: "Do not accept any form of advance payment and predetermined plan, be sure to inquire before placing an order." ”
Two rounds of price adjustments, the product increase is still much lower than the raw material increase
Liling is one of the four main fireworks producing areas in China, covering 9 categories and more than 4,000 varieties, with a market share of one-tenth of the world and a quarter of the country.
Since the resumption of work in September, the raw materials used for the production of fireworks and firecrackers have opened a "full-line rise" mode. Entering October, the double pressure of soaring prices and shortages of goods made fireworks manufacturers bitter.
Upstream suppliers have thrown price adjustment letters to fireworks production enterprises, and the rise in raw material prices has squeezed the original profit margins of the fireworks production industry. In response to the continuous rise in raw material prices, Zhou Xiaoyan said that in the middle of October this year, the company has carried out a round of price adjustment, the average increase of about 10%, the current enterprises are undergoing the second round of price increases, the average increase in 10%-15%, but the two rounds of price adjustment, still far below the raw material increase.
In fact, it is not easy to implement the price adjustment. Deng Lin said that the company's products are mainly exported to the United States, with an annual export volume of 30 million US dollars. "Export companies generally quote in June of that year, and will not start a new round of quotations until May of the following year." He told reporters that the current product price increase is only 4%, because to stabilize customers, consider next year's cooperation.
Zhou Xiaoyan said that fireworks companies are all produced according to orders, and the price is adjusted in the middle, and customers may not understand and accept it. "During the peak sales season of the Spring Festival this year, the price of fireworks and firecrackers seems to have risen into a big trend." He expected.
Freight "rush", there are enterprises to stop production and wait and see
In addition to the bullish raw materials, freight rates are also rushing, Li Yi joined Geely Fireworks in 2000, and for the first time felt that the industry was so difficult. "The sea freight has risen three or four times, and it is still difficult to find a cabinet, and the payment cannot cover the freight." "For example, In Russia, where it used to be about $7,000, now it's $28,000, and in South America, it's only for positions, and the containers have to be bought by themselves." ”
Zhou Xiaoyan introduced that in previous years, domestic transportation, freight rates will be raised around December 20 of the lunar calendar, but this year's price increase tide has suddenly come, and the magnitude is even greater.
An industry insider in the city expects that the overseas orders of some enterprises will not be successfully completed. "The price increase of raw materials was too sudden, and deliveries were affected." Deng Lin said.
In order to cope with the rising price tide, individual fireworks production enterprises take the initiative to stop production, wait and see for a period of time, until the price of raw materials falls, or customers accept product price increases and re-produce.
Under pressure, Deng Lin and others suggested that enterprises should pay more attention to quality, scientific control and save costs.
【Source: Zhuzhou Daily】
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