Economy

Tiles and stone powder are difficult to sell, many establishments in Quy Hop are operating at a low level.

Van Truong DNUM_AIZBAZCACE 07:00

Recently, the consumption of exported stone products and stone powder in Quy Hop district has been difficult, causing production facilities to be in a state of stockpiling and operating at a standstill.

Thời điểm này có mặt tại một đơn vị chế biến bột đá thuộc khu công nghiệp nhỏ xã Thọ HợpThời điểm này có mặt tại một đơn vị chế biến bột đá thuộc khu công nghiệp nhỏ xã Thọ Hợp, huyện Quỳ Hợp thấy không còn cảnh nhộn nhịp xe ô tô vào ra chở hàng bột đá như trước đây, nay khá vắng lặng.
A stone powder processing facility in Tho Hop commune, Quy Hop district still has a lot of products left in the warehouse. Photo: Van Truong

At this time, at a stone powder processing unit in a small industrial park in Tho Hop commune, Quy Hop district, there was no longer the bustling scene of cars coming in and out transporting stone powder like before, now it was quite quiet.

A representative of this unit said: Stone powder products have long been mainly exported to markets in China, India, etc., but from around May 2024 until now, the consumption market has been particularly difficult, and the amount of stone powder purchased by partners is very limited.

Not to mention that businesses also have to pay low prices and higher shipping costs than previous years. Specifically, in 2023, the price of stone powder was 1.1 million VND/ton, now it is only 500,000-700,000 VND/ton. Due to the difficulty in consumption, our unit currently only dares to produce according to orders.

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A lot of unsold paving stones at a processing facility in Thung Khuoc Industrial Park, Quy Hop town. Photo: Van Truong

Mr. Truong Van Hoan - Chairman of Tho Hop Commune People's Committee added: Tho Hop small industrial park, Tho Hop commune currently has more than 40 small and medium-sized mineral processing facilities, of which 3 are stone powder processing facilities for export, the rest are stone cutting and tiling processing facilities. For a long time, this small industrial park has created jobs for over 1,000 local workers and those from neighboring communes.

However, due to difficulties in output, more than 15 facilities have temporarily stopped production, the remaining facilities are operating at a low level, and about 400 workers have had to change to other jobs.

The owner of a stone processing facility in Thung Khuoc Small Industrial Park, Quy Hop town said: In previous years, stone products were very easy to consume, mainly exported to the Middle East. But in the past, there were times when they did not buy, so now the facility has a large amount of inventory. There is no place to store the stone products, so they have to be gathered outdoors, so they have become moldy.

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Because the stone products were exposed to the sun, they became moldy and of poor quality. Photo: Van Truong

In recent years, purchasing power has decreased significantly, orders have been few and far between, especially in the period before Tet, when we could not sell any products for about 3 months. After Tet, we hoped to find new orders, but there were none. Currently, we still have to operate at a low level to retain our workers.

Mr. Kim Thanh Xuyen - Head of the Economic - Infrastructure Department of Quy Hop district said: Quy Hop district currently has 5 small industrial clusters, including about 20 enterprises exporting mineral products, mainly stone powder and paving stones to other countries. Due to the influence of markets in India, Bangladesh, and China limiting consumption, most units have to operate at a low level.

In particular, the amount of unsold tiles is still quite large. The fact that businesses are operating at a standstill has caused many consequences such as affecting the district's budget revenue, as well as many workers in the district being unemployed.

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Some stone powder processing factories in Quy Hop district have to operate at a low level. Photo: Van Truong

In the current difficult period, Quy Hop district creates favorable conditions for businesses such as continuing to upgrade and invest in synchronous infrastructure of small industrial parks, such as electricity systems, roads, drainage systems, etc.

According to forecasts, the mineral processing industry, especially stone cladding and stone powder products, will still face many difficulties. The district recommends that businesses invest in applying advanced science and technology in deep processing and diversifying product lines. Thereby, reducing product costs and competing in the market. Expanding to find domestic and export markets.

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Tiles and stone powder are difficult to sell, many establishments in Quy Hop are operating at a low level.
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