Chapter 1278 Methods of Processing Trade with Supplied Materials
readx;?“ Hey, these old comrades!" Listening to Shu Qinghua's complaints, Bao Feiyang couldn't help but laugh a little. He had heard that some old cadres and old comrades in the northern province had outdated www.biquge.info, backward and conservative ideological concepts, but they were not at all comparable, and these old comrades and old cadres had outdated and backward ideological concepts to such a degree.
He now understands a little bit of the difficulties of Zhang Zhichao, the leader of the municipal party committee, and Shu Qinghua, the mayor of the city, and knows why the two of them want to spend so much effort to keep the investment projects of the Canadian Sihua Group, because the situation in heavy industry is generally not good, but they can't move the knife in heavy industry, the only thing Zhang Zhichao and Shu Qinghua can do is to find another way, make a fuss about the light industry and service industry that the old cadres and old comrades are not paying much attention to, and introduce foreign capital to open up a situation.
Thinking of this, Bao Feiyang couldn't help but worry a little about Uncle Tian Gangqiang. This is the case in Fenglin City, and the whole province of Northern Province must be in this situation. Tian Gangqiang, as the new leader of the northern provincial party committee, will inevitably face the same predicament as Zhang Zhichao and Shu Qinghua, and how to untie this dead button, change the outdated and backward ideological concepts of those old comrades and cadres, and put the economic development of the northern province on the fast track will certainly be an extremely arduous task.
"Comrade Bao Feiyang, complaining and complaining will not help the current situation of Fenglin City, and of course it will not help solve the current predicament of Fenggang Group. Shu Qinghua said, "You now know the bottom line of dealing with the predicament of Fenggang Group, that is, you cannot sell Fenggang Group to foreign capital and private enterprises, nor can you sell it to state-owned enterprises with lower administrative level and smaller assets than yourself." In this case, can you still think of other ways to solve the problems of Fenggang Group? If you can't think of it, then I am really being cheated by you. Don't forget, in the square inside the gate of Fenggang Group, there are still thousands of workers of Fenggang Group waiting for the results of our discussion!"
When he said this, Shu Qinghua always looked at Bao Feiyang with hopeful eyes. He hoped that the youngest police chief in Fenglin City, who had repeatedly created miracles in Jiangbei Province, would also be able to create a miracle for him this time. I don't know why, Shu Qinghua has an almost blind confidence in Bao Feiyang deep down, thinking that this excellent young cadre has the ability to turn stones into gold that no one can match. This is also the reason why he hopes to transfer Bao Feiyang from his post in the police station and make Bao Feiyang the director of the Economic and Trade Commission, or simply become the deputy mayor in charge of the economy.
"Mayor, you take such good care of me, I can't pit you, right?" Bao Feiyang spread his hands and said: "To solve the dilemma of Fenggang Group, I think there is another way......
"In what way?" Shu Qinghua hadn't spoken yet, and Liu Zekai, who was sitting in the front row, couldn't help but grab the words and asked.
"Yes, Comrade Feiyang, what other way can there be?" Shu Qinghua didn't blame Liu Zekai for trespassing, and also asked.
"Mayor, Mr. Liu, are the two of you familiar with the processing trade of supplied materials?" asked Bao Feiyang with a smile.
Liu Zekai's specialty is steel production, and he is an expert in steel production, but in addition to steel production, he really hasn't cared too much about other aspects. Hearing Bao Feiyang hear him, he shook his head and said honestly: "I have heard of this method of processing with supplied materials, but I don't know how it works." ”
Compared with Liu Zekai, Shu Qinghua is an economic all-rounder, although Fenglin City does not belong to the special economic zone, and has not carried out the processing of raw materials, but he is still familiar with this form of trade of processing with supplied materials.
Processing trade with supplied materials This form of trade began in China in the late 70s to early 80s of this century. To put it simply, it refers to the business of foreign businessmen providing all raw materials, auxiliary materials, parts, components, accessories and packaging materials, providing equipment when necessary, and the processing unit of the undertaking party shall process and assemble according to the requirements of foreign businessmen, and the finished products shall be handed over to foreign businessmen for sale, and the undertaker shall collect labor fees, and the price of equipment provided by foreign businessmen shall be repaid by the undertaker.
Generally speaking, there are two types of enterprises undertaking foreign processing and assembly trade; one is that the undertaking party is a Chinese enterprise or a joint venture, and the entrusting party is a simple entrusted processing relationship, by undertaking processing business, the enterprise can use foreign funds, give full play to its production potential, expand exports, increase income, and can obtain international market information, accelerate product upgrading, improve management level and improve technology.
The other is that the foreign entrusting party directly invests in the domestic factory and then makes full use of China's preferential policies and cheap labor in the way of commissioned processing and assembly, which makes huge profits, and to a certain extent, competes for the market with China's original export trade. Although this kind of "front shop and back factory" method has more advantages than disadvantages for the development of China's economy. However, in the long run, it is very beneficial to increase the income of domestic residents and increase the scale of local government fiscal revenue and tax collection by using policies to guide technology-intensive and cost-intensive industries in this way of utilizing foreign capital.
According to his own understanding, Shu Qinghua told Bao Feiyang about the processing trade of supplied materials, and asked Bao Feiyang at the end, "Why do you suddenly ask about the form of processing trade?"
Bao Feiyang laughed and said: "On the issue of Fenggang Group, we can also learn the form of processing trade with supplied materials!"
He said: "Aren't those old comrades and cadres opposed to us selling the Fenggang Group? Then we don't sell the Fenggang Group, but just let the Fenggang Group do processing with supplied materials for foreign-funded enterprises or domestic enterprises, is it not okay?"
Shu Qinghua and Liu Zekai's eyes couldn't help but light up, Liu Zekai didn't care about his own image, the whole person turned his face to Bao Feiyang and knelt on the seat in front of him, looking at Bao Feiyang intently, to see what he would say below.
"Well, you go on!" Shu Qinghua made a gesture at Bao Feiyang.
"In fact, my assumption is this, can we find a company, and Fenggang Group to sign a contract for processing, this company provides raw materials and is responsible for the sales of products, and Fenggang Group is only responsible for the production process of steel, and earns processing fees. Bao Feiyang said, "In this way, the current predicament of Fenggang Group will not be solved, the processing fees earned are enough to pay workers' wages, management fees and equipment depreciation, and Fenggang Group still exists as a first-class enterprise, and has not been swallowed up by foreign-funded enterprises or any domestic private enterprises!" )
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