A typical way of survival for a small plastic bag factory

Xiong County in Hebei Province is known as the hometown of plastic bag printing. This is the largest production and sales base for the packaging and printing industry in northern China. The county has nearly 2,000 key packaging and printing companies, more than 10,000 machinery and equipment, more than 30,000 workers, and an annual output of more than 300,000 tons of plastic products with an output value of 3 billion yuan.
Huang Shuzhu's plastic factory and Xiong County have experienced a resurgence of glory.
In 1988, 20-year-old Huang Shuanzhu just graduated from high school and set up a plastics factory. At that time, the factory had only him and his sister, a worker, and a machine. They produced the plastic bags used in supermarkets. He was also one of the first people to hold plastic products in Xiong County.
In the late 1980s, Huang Shuzhu's annual income was no less than 30,000 yuan.
Until 1994, Huang Shuzhu married, abandoned the industry, he has to work in Zhuhai, Shunde, due to pressure, back home in 1996, to resume operations, still producing plastic bags used in supermarkets. He borrowed money from all directions and finally got enough of 110,000 yuan to buy two machines and hire six workers. In addition to power outages and maintenance of equipment, the Huang Shuzhu factory's machinery did not stop. It produced 4.5 million plastic bags a month and sold 6 cents each. He earned two cents.
At that time, there were only a dozen companies producing plastic bags in Xiong County.
The seemingly distant Asian financial crisis in 1998 similarly touched the nerves of the Xiong County enterprise. At that time, the polyethylene he imported from South Korea’s Samsung Petrochemical Company fell from 11,000 yuan in 1996 to a minimum of 4,850 yuan per ton. In this way, Huang Shuzhu began to make ends meet in 1998. In the loss, Huang Zhu column reflect. He saw on television that a dead monkey was dissected and found that it was because of swallowing a plastic bag that he died. He deeply felt that the development of this industry was awful and he had the idea of ​​transformation.
In 1999, Huang Shuzhu transitioned to the production of industrial plastics, and the supermarket plastic bags accounted for only 10% of the total. Now the monthly net profit has reached more than 20,000 yuan. The size of the factory has also been expanded, with nearly 20 workers and 4 equipment.
"The production of plastic bags is an industry that produces garbage for the society. The plastic limit order came out 6 years later!" Huang Shuzhu said frankly, "In 2002, Beijing introduced regulations, and less than 3.5 silk (a strand equals 10 micron) film plastic bags cannot enter. In the Beijing market, major shopping malls switched to 40-micron plastic bags. In fact, it was forbidden to provide free plastic bags at the time."
Huang Shuzhu said that most of the companies that currently produce plastic bags are small workshop-style processing, and the output value accounts for 20% of the total economic volume of Xiongxian County. These small businesses can only face closures or transitions.

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