Shihezi, Xinjiang: The Restructuring And Reorganization Of The Former State Owned Textile Enterprises Turned Round

After a series of reforms, such as ownership change and employee status replacement, 3 original state-owned textile enterprises in Shihezi, Yinhe Textile Co., Ltd., Hongyang textile company and Tianhong New Cotton Industry Co., Ltd. were purchased and reorganized by 3 private enterprises, Hangzhou Zhongsheng Industrial Co., Ltd., Xi'an Tang Cheng Cotton Industry Co., Ltd. and Zhejiang Huafu Textile Co., Ltd. at the end of last year.

After restructuring, the 3 enterprises turned round deficits in the first half of this year to achieve an industrial output value of 229 million yuan and a profit of 6 million 80 thousand yuan.

Shihezi City

Among them, the galaxy textile company acquired a loss of 55 million 180 thousand yuan before being acquired by Zhongsheng company in August 31st last year. It lost 20 million 760 thousand yuan from January 2009 to August. The cumulative loss of Hongyang textile company before the restructuring was 20 million 150 thousand yuan; Tianhong Xin cotton lost 45 million 450 thousand yuan.

In June last year, the Shihezi municipal Party committee of the eight agricultural division decided that the state-owned enterprises should withdraw from the general production competition and encourage private enterprises to enter.

In the second half of last year, under the specific operation of Shihezi state owned Assets Management Co., Ltd.

After receiving the Hongyang textile, Tang Cheng cotton industry has brought into play the advantages of flexible operation of the private enterprises, strong market adaptability and so on. It has introduced advanced equipment, adjusted the product mix and produced marketable products. From January to June this year, the industrial output value reached 32 million 460 thousand yuan and the profit was 150 thousand yuan.

After the acquisition of Tianhong new cotton, Huafu invested about 23 million yuan. In April 20th this year, it successfully converted the original 51 thousand and 200 white yarn production line into a colored spinning production line, and produced two categories of 20 Huafu brand colored yarn products. The quality was recognized by customers at home and abroad, and the production and sales were flourishing. In the first half of the year, the total production of cotton yarn was 5521 tons, and the sales rate reached 99%. The company realized a profit of 1 million 340 thousand yuan from January to June.

After the takeover of Galaxy textile, Zhongsheng industrial company increased production significantly, and realized industrial output value of 98 million 910 thousand yuan in the first half of this year and realized a profit of 4 million 590 thousand yuan.

The successful restructuring of the 3 state-owned textile enterprises marked the deepening of the reform of the eight state-owned enterprises and the state-owned enterprises in Shihezi, and the accelerated pace of new industrialization.