Recently, the domestic brand two-sided needle was exposed by the market supervision department because the shampoo preservative exceeded the standard.
On February 23, a reporter from the International Finance News learned from the Notice of the State Food and Drug Administration on 50 batches of cosmetics that did not meet the regulations (No. 11 of 2022) that the sample was sampled from Dongying Hotel, labeled as a mixture of double-sided needle (Jiangsu) Industrial Co., Ltd. (hereinafter referred to as "Two-sided Needle Jiangsu") (labeled production date: 20201215), and the unqualified items were methylchloroisothiazolinone, methylisothiazolinone and a mixture of magnesium chloride and magnesium nitrate (methyl chloroisothiazolinone: Methylisothiazolinone is 3:1), and the above products have been re-examined by the Shanghai Food and Drug Inspection and Research Institute, and the result is 0.0016%, which is still unqualified.
On the afternoon of the same day, the international finance news reporter called the two-sided needle headquarters, and its relevant personnel said that they did not understand the details of the matter, and suggested contacting the quality inspection department of the branch to inquire. Subsequently, the reporter contacted the relevant person in charge of the two-sided needle (Jiangsu), who said: "After the company investigated the process control records of the entire production process, no abnormalities were found; other types of products using the same preservatives in the same period have also been handed over to a third party for thorough investigation, all of which are qualified to obtain qualified test reports." Because it is not a batch accident, the company treats this incident as a separate abnormal event, and because the value is only a small difference, it is speculated or related to the 'raw material brought in', but the final conclusion has not yet been reached, and it will continue to follow up on the specific situation. ”
Product quality is a problematic
Public information shows that methylchloroisothiazolinone is an organic compound, is a highly effective fungicide, for inhibiting the growth of microorganisms have a good effect, can inhibit the growth of bacteria, fungi, mold and mold. It is generally used as a preservative in bath liquids, shampoos and washing liquids, and can be used in cooling water, circulating water, papermaking and paint coatings in industry. However, the ingredient is irritating to the skin and may cause allergic reactions.
According to the Cosmetic Safety Technical Specification (2015 edition), the maximum allowable concentration of methylchloroisothiazolinone and methylisothiazolinone and magnesium chloride and magnesium nitrate (methylchloroisothiazolinone: methylisothiazolinone is 3:1), the maximum allowable concentration when used in cosmetics is 0.0015%, the scope of application is a shower product, and cannot be used simultaneously with methylisothiazolinone.
The two-sided needle (Jiangsu) mentioned in an interview with the "International Finance News" reporter that the company's first inspection result was 0.0019%, and the re-inspection result was 0.0016%, which was less different from the national standard value of 0.0015%, which was just stepping on the dotted line. Judging from the re-examination results, the difference of 0.0001% is indeed very small and does not seem to be a big problem. In this regard, the reporter asked a person close to the official agency, the person said: "The standard limit value of preservatives is stipulated by the state, and the state also determines the limit value according to certain technical means and programs when setting the limit value, since the provision is 0.0015%, it cannot be exceeded, otherwise the national limit value is meaningless." ”
The reporter noted that this is not the first time that the two-sided needle (Jiangsu) has been exposed to unqualified products.
According to China Quality News Network, on June 5, 2018, the results of the 2017 quality sampling of washed commodities in the circulation field published by the former Tongliao Municipal Administration for Industry and Commerce showed that the "two-sided needle" full-care shampoo (production date/batch number: 42931) produced by the nominal two-sided needle (Jiangsu) was found to be unqualified in the label project; in December 2016, According to the random inspection of commodity quality in the circulation field in the third quarter of 2016 reported by the former Hunan Provincial Administration for Industry and Commerce, a group of "dental B" samples sampled from the Zhaodong Sanchuan International Hotel in Shuangqing District, Shaoyang City, and the nominal two-sided needle (Jiangsu) was found to be unqualified for the toothbrush grinding rate project.
In addition, Tianyancha information shows that on December 15, 2021, due to the sale of ordinary cosmetics that were not filed for the record on the market of two-sided needles (Jiangsu), the Jiangsu Provincial Drug Administration confiscated 8940 yuan of illegal gains and imposed a fine of 15,800 yuan in accordance with relevant laws and regulations; on February 21 this year, the company was again punished by the Jiangsu Provincial Drug Administration for producing and selling cosmetics that did not meet the national "Cosmetic Hygiene Standards", confiscating 5280 yuan of illegal gains and imposing a fine of 15,840 yuan.
Two-sided needle brilliant again?
According to public information, the enterprise involved in the two-sided needle (Jiangsu) is a holding subsidiary of Liuzhou Two-sided Needle Co., Ltd. (hereinafter referred to as "Two-sided Needle Liuzhou"), established in 2004, mainly producing toothpaste, toothbrush, soap, shampoo, shower gel, slippers and other hotel and household products, and has a number of brands such as two-sided needle, Tuyue, Mulanze, Qiaoyao, Shuman, Skin Lang, Keliwei, Qinzhiyuan, Fangcao and so on.
Two-sided needle (Liuzhou) is the headquarters of the brand, is an orthodox state-owned enterprise, the history can be traced back to 1941, at that time, Asia Fengchang and other 5 small private soap factories combined to establish the company, the main toothpaste, flower dew, alabaster, leather shoe polish and other daily chemical products, in 1994 the company was restructured into a joint-stock company, and in 2004 became the industry's first company listed on the Shanghai Stock Exchange.
It is worth mentioning that the well-known domestic brand of two-sided needle once pioneered the first Chinese medicine toothpaste, and developed the first two-sided needle Chinese medicine toothpaste in 1978, and sold well in China for many years. Data show that from 1986 to 2001, the two-sided needle ranked first in domestic toothpaste production and sales for 15 consecutive years, and the market share exceeded 16% at its peak.
However, after the listing, the two-sided needle has fallen into the dilemma of "debut is the peak".
Relevant data show that in 2003 before the listing, the operating income of the two-sided needle reached 586 million yuan, of which the revenue of the toothpaste category was 442 million, accounting for 75.4% of the operating income. However, after the listing, in order to further increase performance, the two-sided needle began to continuously expand the scope of business, in addition to the main daily chemical business, but also entered the pharmaceutical, paper and real estate development fields.
Perhaps it is this development strategy that has pulled the two-sided needle down the altar of the top of the list of domestic toothpaste brands. In 2004, the total operating income of the two-sided needle fell by 2.9% year-on-year to 569 million yuan, and the deduction of non-net profit fell by 77.02% year-on-year to 7.5543 million yuan; in 2006, the two-sided needle opened the road of deducting non-net profit for 13 consecutive years, and by 2018, the non-net profit of the two-sided needle buckle was -74.7281 million yuan; the non-net profit of the two-sided needle buckle was -74.7281 million yuan; the non-net profit of the deduction in 2019 was about -120 million yuan.
Or aware of the two-sided needle of the problems caused by expansion, in 2017, its "fine chemical" business was completely divested from listed companies, and in 2019, it was again divested from the paper sector (paper products, paper companies) and real estate sectors (housing development company), according to the 2020 annual report, at present, the company's main business is only daily chemicals and pharmaceuticals.
On January 28, the two-sided needle released its 2021 performance forecast. According to the announcement, the two-sided needle is expected to achieve a net profit of 8 million yuan to 12 million yuan in 2021, a decrease of 46 million yuan to 50 million yuan compared with the previous year, a year-on-year decrease of 79.31% to 86.21%, the company said that the main reason for the decline in net profit is caused by changes in trading financial assets.
In the view of Sun Wei, a well-known top-level design expert and senior researcher of brand marketing at Tsinghua University, in the past two years, the two-sided needle has focused on the main business, but due to many changes in the market pattern, the toothpaste market is not what it used to be. If only relying on the brand assets of traditional Chinese medicine toothpaste in the past, it is difficult to break out of the siege, "two-sided needle toothpaste may need to (do it again) brand positioning and product segmentation, focusing on the children, women, middle-aged and elderly markets, while integrating the national tide elements, or making the two-sided needle have the possibility of returning to the public eye." ”
Reporter: Jiang Peifang Trainee reporter: Yu Miao
Edit: Majack
Editor-in-Charge: Bidandan Cover Source: Infographic