Chapter 314 The Prospect of the Paper Industry (1000 Average
Of course, the problem cannot be fully explained. If the factory is said to be useless, who will be willing to invest? So after talking about the disadvantages, Shen Long talked about the advantages of Luzhou Paper Mill, "In addition, the scale of our factory is still relatively large. , the factory covers a large area and has certain technical research capabilities, especially this. There are not many paper mills that can do this now..."
The paper mill was filled with an unpleasant stench, but Wang Dalu and Shen Long didn't pay attention. Accompanied by the factory leaders, they carefully looked at every corner of the factory. They walked through the factory with hunched backs and smiling faces. As they passed by, the workers cast their eyes expectantly.
The factory and workers are all aware of the current situation. With the factory's current capabilities, it is impossible to get a loan from the bank to upgrade the equipment. If no one invests, the factory will have to be shut down, and they will be like Lu Workers in other state-owned enterprises in the state have also been laid off. They have seen the plight of those workers and the misery after being laid off is absolutely unbearable.
Many of these workers have worked in the factory for many years. They have watched the Luzhou Paper Mill grow from small to large. Their youth and sweat have been left here, and they have been given enough remuneration to support their families. At the same time, they have also lost their jobs. No one dares to think about their ability to survive outside and where they will go once the factory is shut down.
"...Boss Wang, our factory is still very good. As long as you invest a sum of money to upgrade the machinery and equipment and introduce new technologies, I guarantee that the workers will be able to work hard for you." The factory director Speaking of humble words, a few years earlier, when I met the boss of a private enterprise, he would have spoken like this.
"For such a large factory, it will cost a lot of money to update all the equipment." Wang Dalu had already done some work before coming and had a rough estimate of the funds needed to update the equipment and technology. With such a large factory, A decision about a sum of money cannot be made easily by hearing a few good words.
"But the selling price of the factory itself is not high. Basically, Mr. Wang doesn't need to spend too much money. He only needs to spend such a small amount of money to acquire such a big factory. This business is still very cost-effective." Shen Long reminded, The current paper mill is a pure burden for Luzhou City. The government has to continue to provide funds to maintain the workers' basic livelihood. There is no spare capacity to upgrade equipment, so the asking price is very low.
"The accounts cannot be calculated like this. As an enterprise, Luzhou Paper Mill can now be said to have negative assets. Not only can I not buy these machinery and equipment, I have to spend money to dismantle them..." Wang Dalu also has his own concerns, " Moreover, equipment upgrades and technology upgrades are risky. If you continue to use straw to make paper, the technical problems cannot be solved in a short time. If other raw materials are used, Handong Province currently does not have enough fast-growing forests."
During this period, the damage to forest resources was serious. News spread everywhere in newspapers and media that the Japanese protected their own forests but came to China to buy disposable chopsticks, which led to a large number of domestic forests being cut down. I am afraid no one would have thought that in twenty years Then it was China's turn to import timber from Japan.
"We have considered these issues for Director Wang. The smell here is not good. Let's talk somewhere else!" Shen Long had already made preparations for this. He came out of the paper mill and moved to a clean place by the Crescent Lake. In the local area, Shen Long and Wang Dalu chatted about the prospects of the paper industry. "Since Director Wang is interested in investing in the paper industry, he must have done some research in advance. I wonder if Director Wang has heard of the company Nine Dragons Paper?"
"I've heard that Boss Zhang is a great businessman, and his investment of 110 million US dollars is a huge sum!" A trace of surprise flashed in Wang Dalu's eyes. The young official in front of him actually thought of going to the same place as him.
Nine Dragons Paper was a company founded by Zhang Yin. With this company, she later became the first richest woman to appear on the Hurun Report. This time it was the Luzhou Paper Mill that was attracting investment. Of course Shen Long would not miss it. Information about this rich man.
"Well, the raw materials of Nine Dragons Paper come from American waste paper. American waste paper is sold at extremely low prices. It is shipped to China with low freight. It then uses the mainland's advantages in land, energy, and manpower to produce it at a low cost. High-end paper products are in high demand, which is a very good business model. Our Luzhou is not far from the port, and Director Wang can completely replicate the successful experience of Nine Dragons Paper in Luzhou," Shen Long said.
"But Nine Dragons Paper has already started to purchase waste paper in the United States. If I join again, will it lead to increased competition and an increase in the price of waste paper? In this case, profits will also decline, and Nine Dragons Paper has built such a large building in the south. With a large-scale factory, will his products enter the market in Handong Province?" These Wang Dalu didn't have much confidence.
“I collected information from the American Forest and Paper Association online. According to the data, the United States consumes 47 million tons of paper every year, 75% of which is recycled, which is more than 35 million tons. tons, Nine Dragons Paper has only captured less than five million tons, and there are still sufficient raw materials for Director Wang to use..."
"In addition, Guangdong Province exports huge amounts every year. The packaging paper currently produced by Nine Dragons Paper is not enough to meet the local demand in Guangdong Province. So does it still have the energy to enter the market in Handong Province?"
"Our Handong Province is also a major foreign trade province, and the market has a huge demand for packaging boxes. Now that the paper industry is facing consolidation, output will inevitably decline. If Mr. Wang can start production as soon as possible, there is a high probability that he will monopolize the packaging boxes in Handong Province. Market, I don’t need to tell you how much profit there is, right?”
"In the past few years, we could use American waste paper as raw materials, and use this time to cooperate with universities in Handong Province to research straw papermaking technology, and at the same time carry out fast-growing forest planting and afforestation. The government is also very supportive; in this case, even if In the next few years, the price of waste paper in the United States will rise, and Director Wang will not have to worry about raw materials..." These are successful cases of Nine Dragons Paper and other paper-making companies in the future, and they are fully operable.
"As far as I know, some people have begun to study the technology of using the black waste liquid produced by straw papermaking to make organic fertilizer. If it can be successful, straw can not only make paper, but also bring extra profits to the paper mill, and at the same time avoid pollution. , This is a great thing..." Shen Long continued.
Chapter completed!