China Artificial Stone Industry

China Artificial Stone Industry
Artificial gem variety, style, beautiful, with the huge price advantage, well received by the consumers. Starting in 2008 an outbreak of the global financial crisis, to the artificial gem industry has brought great impact. In the global financial crisis has not yet happened in the past, China s artificial gem industry to realize leap forward development faced a number of bottlenecks.

Challenges: development of the industry highlights the bottleneck

Guangxi Wuzhou City is the industrial center of China s artificial gemstones. From simple processing to set up raw material plant gems, precious stones machinery factory, from raw materials, machinery and basically depend on imports to domestic production, from order production to international trade, after 27 years of development, Wuzhou City has become the world s largest man made gem processing concentrated base. According to statistics, Wuzhou City, the country s total output of the artificial gems for 80 , accounting for 70 of world production, and therefore known as artificial gem capital of the world. But the global financial crisis swept across the city of Wuzhou of artificial gems industry, highlighting the bottleneck, the industry faces unprecedented challenges and pressures.

First, the relocation of processing center. Industry analysis, Wuzhou of artificial gems industry has experienced 20 years of development history, with the passage of time and changes in the external environment, artificial gem production industry has shown a heated competition situation. On the one hand, the lower the price of an artificial gems dropping lower and lower; the other hand, labor costs, rising electricity bills, resulting in advantages of artificial gem industry dwindle. Coupled with a low entry threshold, practitioners promote the flow of the population with low grade artificial gem processing industry, the corresponding spread. Coupled with the basic phenomenon of apparent loss of labor resources, the personnel engaged in gem polishing fewer and fewer, artificial gem processing center challenges.

Wuzhou Mountain butterfly Industrial Development Authority YU gem that in recent years, artificial gem processing center from the subordinates in Wuzhou city to county, township, villages spread layer by layer. At the same time, because with more suitable soil for the development of artificial gem industry, fast track the northwest Guangxi and Hunan, Sichuan and some other parts of rural spread.

Second is the trading center were affected. Trade associations in the Gem City dealers Investigation found that the prevalence of Wuzhou dealers operate small scale mode of operation is lagging behind other issues. Many operators are from grinding stones started a small workshop, based on continuity of operation and passively do some incoming, sample, to a single processing, sending and receiving and so on. Wuzhou Artificial gem dealers in the proportion of truly autonomous is not high, many rely on a higher level of large distributors scattered down the processing and acquisition business, which means that distributors of the artificial gems Wuzhou the ultimate market is basically not grasp.

The industry believes that many dealers are used to produce and sell a simple continuation of waiting for customers and orders come to meet the family practiced on a cottage and sales, which the status quo if it is not enough attention and be improved, will threaten the Wuzhou, as an artificial gemstone trading center.

The third is an extension of industrial chain conditions are not ripe. Wuzhou City, the production of artificial gems, although the large, but the price low, low share of roughing the largest number of enterprises, high value added, brand enterprises with less, the industry has yet to form a highly efficient supply chain, gathering the gathering area effect is not significant.

Analysis of the industry, after years of attempts, Wuzhou City, an extension of the conditions of artificial gems is far from mature industry chain. On the one hand, the domestic jewelry enterprises are concentrated in the Pearl River mounted downstream Dongguan, Shenzhen, Panyu and other places, it is difficult not transferred to the foundations of deep processing of Wuzhou City. On the other hand, due to restricted venture capital scarcity, combined with the lack of mosaic and so professional and technical personnel, as well as related ancillary services are inadequate and so the impact of a number of precious stones Wuzhou deep processing enterprise development difficult.

Fourth, the financial crisis brought about new challenges. Wuzhou City Chamber of Commerce executive vice president of Gem Liang Su Jia said that the financial crisis erupted last year, but also to the gemstone industry, an enormous impact. The second half of last year, export oriented nature of the artificial gems industry, being implicated, the most obvious manifestation is the sharp reduction in export orders. Unbearable pressure on the operators of some low cost sellers, and some even turned to development of gemstone market withdrawal of other industries.

So far, about three percent of people have quit the industry gem. Even more serious is that the market does not regulate the price confusion, credit transactions, triggered by unfair competition has affected the healthy development of artificial gemstone market.


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