WEBODIGY Business & Finance Journal

Profits of steel companies in China is estimated to drop to 40% to 50 billion yuan (U.S. $ 7.3 billion) this year.

According to Qi Xiangdong, deputy secretary-general of China Iron & Steel Association was quoted in the China Securities Journal today, most steel companies are still suffering from losses in November.

This, he added, due to high costs and low selling prices despite a high turnover rate.

Qi added profits for steel companies on 72 November to reach 7.3 billion yuan and the results expected in December for less than the level that

Golkar Party faction (FPG) asked President Susilo Bambang Yudhoyono (SBY) to delay the implementation of free trade China-ASEAN (China-ASEAN Free Trade Area / CAFTA) considering the very adverse effects for the national manufacturing industry.

CAFTA by the Golkar Party faction will potentially increase the rate of unemployment and poverty in absolute terms. The statement was made by the Secretary of the Golkar Party faction Ade Komarudin via Press Release that was sent to the media, Sunday (10.1.2010).

“With the implementation of CAFTA, the national manufacturing industry which has been used as a national backbone to absorb labor would be closed by itself. Our manufacturing industry will not be able to compete from the invasion of China products. As a result, unemployment and poverty rates soared, due to widespread layoffs and lack of investment in manufacturing industries. When this happens, it is quite likely to trigger a national instability, “he said.

Therefore, continued Ade, the Golkar Party asked the government to postpone the agreement for the national interest is greater. “Developed countries are also doing that, if the interests affected nasonalnya. Look at the attitude of the United States and other developed countries in WTO negotiations, they tried and are very protective of its national interests,” he said.

According to Ade, the Golkar Party faction argued, but will increase unemployment and poverty, CAFTA will affect the balance of trade imbalance between China and Indonesia. “We are only able to sell raw materials or semi-processed yet, while the government is aggressively pushing China to export to foreign countries with schemes to encourage industry policies that can compete in a productive, so between our imports and exports will be crippled by itself,” he explained.

He said, to grow and develop national industry is still plagued by a lack of infrastructure, high transport costs and port services are still complicated. “With such a large obstacle, the Golkar Party faction rate is unethical for the government to let the national manufacturing industry ‘dead’ by itself due to the implementation of CAFTA agreement.”

Industrial sector which will sink if the study is performed according CAFTA Golkar Party is the textile industry and textile products (TPT), petrochemical industry, industrial equipment and agricultural machinery, footwear, synthetic fiber industry, electronic industry (including cable and electrical equipment), industrial machinery, industrial engineering and steel industry.

“In Vietnam we have manufactured products have lost, especially with China products. That’s why we suggest to the government to examine and assess which products are ready for release within the framework of free trade, and for industrial products that have not been able to compete government should do renegoisasi back to the products included in the list of delayed free trade China-Asean. ”

To help the performance of national industries in the face of global competition, FPG asked the central and local governments to establish a harmonious relationship with the business. “The government should assist the business community in an effort to improve performance through regulation, incentives and facilities that enable businesses to compete competitively. Central and local governments must be synchronized to take and implement policies. So far, the central government policy, sometimes run differently in the region, it is reflected by the number of laws that are not business friendly. ”

Golkar Party faction admitted, that the CAFTA agreement also opens new market opportunities for national industry. “Viewed from the population, the FPG admitted, that the potential market is huge. So the national industrial opportunities to enlarge its market share is also very large. Therefore, FPG in the proposal asked the government to delay implementation for manufacturing products that certainly has not been able to compete,” he added

England noted the increase in commodity prices and some manufacturers produce. The increase was a result of the global economic crisis and the highest during the last 11 months. As this makes the increase for the steel industry, transportation, and meals.

The Office for National Statistics (ONS) said in a statement said when the price of increased production by 3.5 percent at the end of December when compared with the same period the previous year. This is a tertnggi the year on year since January 2009.

As is known, these prices also increased by 0.5 percent last month compared to November. This is an increase since the last 10 months and the largest since May 2008.

“The monthly, output prices of all manufactured products rose by 0.5 percent in December. This reflects an increase in the price of manufactured products, transportation equipment, electronic products, and food,” the data from the ONS, as quoted by AFP, Saturday (9 / 1 / 2010).

Previously, economists had expected a price increase of 0.1 percent per month and 3.1 percent per year.

Implementation of free trade agreement (Free Trade Agreement / FTA) ASEAN-China threatens national herbal medicine industry. To survive, the industry chose to do a merger.

“The implementation of FTA makes small and medium producers of herbal medicine large kelabakan.Perusahaan must rack my brain how to be able to survive,” said DPP Chairman of the Joint Enterprise Herbal and Traditional Medicines Indonesia (GP Jamu) Charles Saerang in Jakarta yesterday. He said, if it is unable to compete , large-scale herbal medicine company also will make the merger (merger) with another company. “The strong are not strong. It would be a lot happening,” he said.

Arises a merger. This way I’ll survive, “said Charles. However, he said, this situation posed a dilemma. If big companies can do a merger, a small company can only surrender waiting for the opportunity to participate in maintaining its market.” I urge the government to provide facilities in the regulations. Government not only act as a regulator, but also a facilitator, “he said. According to Charles, tariff policy and the obligations of the use of standards and labels in Indonesian language, including regulation of the drug difficult enough illegal aliens to enter.

However, the foreign drug manufacturers have to use the pass. China drug producers, he said, take advantage of the weaknesses of Health Department clinics Indonesia to build widespread throughout Indonesia. Because directly relate directly to the clinic, these drugs away from the watchlist Agency for Drugs and Food (BPOM). “Legal clinic, but the medicine that we do not know. And this very rapid development in Indonesia. Jualannya use advertising, with the excuse to treat cancer, tumors, and others in a short time. The community put a lot of this, “he said.

Charles pointed out, support from the government is expected, especially in the promotion of the use of herbal medicine which is expected to be one of the national drink that characterizes the new life style should batik. “We hope later on Friday could also drink tea or coffee so ginger. Are both warm, but more potent, “he said. Husnia BPOM head Thamrin said it hopes to do intensive monitoring in traditional medicine products in Indonesia.” We do intensive supervision. If it turns out there is a problem, we will destroy the product. Then the perpetrator would we follow up, “he said.

He said there had indeed been labeling using the Indonesian language, but not applied properly. “Now there will be clarity Indonesian labels. Now be printed on the product. If it had just posted and small shape, so do not look, “said Husnia. Husnia said it was concerned that the ASEAN-China FTA could kill the domestic industry.” I’m worried about our products competitive with other countries, “he said.

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Meanwhile, Chairman of Indonesia Joint Pharmaceutical Entrepreneur Anthony CH Sunarjo said, China and India can produce cheaper drug prices and more in number as well. “Economies of scale of their production besar.Kita same cost only 100 thousand. They were 10 million. Therefore, the price of their drugs could be cheaper. Actual tariff reduction for these drugs long-running. Now only a matter of competitiveness, “he said.

Mexico’s record of economic growth to shrinking 6.8 percent in 2009. Results are the worst economic achievement for Mexico in the last 30 years.

It was announced by the Ministry of Finance of Mexico as reported by the Associated Press (AP), Saturday (30/1/2010).

“The decline of Gross Domestic Product (GDP) is due to the weakening currency and 6.2 percent of the debt crisis since 1995″ says the report.

Based on these reports, in the fourth quarter of 2009 has been improved with an increase of 1.2 percent compared with the third quarter. Although the level of economic output is 3 percent lower than the same period in 2008. However, it is the second quarter in a row in which GDP growth in the economy rose 2.9 percent in the third quarter. Previously, recorded a decrease to 10.3 percent in the second quarter.

The government originally estimated it would be full of the Mexican economy contracted in 2009 to approximately 7 percent. This year, the Ministry of Finance expects Mexico’s GDP can grow approximately 3 percent.

“Evolution recently showed the probability of economic growth may be greater than the predictions of a lot” he added.

Meanwhile, recorded as many as 181,271 people lost their jobs who are registered officially in 2009 and approximately 107 million Mexican citizens working in the informal sector