Based on China’s current trade status, the market purchase trade mode plays a role in adjusting the international and domestic trade unbalance, and has some pulling effect to export. For example, in line with the market purchase trade mode, it is allowed several purchasers to purchase goods in batches and export the goods in a batch. Specifically, a container can hold 300 pieces of goods, but an enterprise only has 100 pieces to export. In this way, the transportation cost will be high. But with the market purchase trade mode, several purchasers can share the container to lower the cost.

 

This mode has been piloted in Yiwu, Zhejiang Province and Haimen, Jiangsu Province. Experiences in these two cities show that this practice has directly driven the export growth of the local and even the whole province. The pilot of market purchase trade mode in Guangzhou must have a good influence to the local trade and bring more development opportunities for the medium-sized, small and micro enterprises of Guangzhou.

 

Generally speaking, the SMEs and micro enterprises are limited in production size and operation scale and cannot export goods to a country or region in a large volume. But in the area implementing the market purchase trade mode, purchasers can gather and distribute different types of bulk cargo in the same container, just like shopping at the market. The SMEs and micro enterprises can purchase for different countries and different projects. This mode is not only conducive to development of SMEs and micro enterprises, but also good for circulation of real economy trade .

 

Against the sluggish export market of electronics and petty commodities, Guangdong has accelerated the implementation of the measures stimulating import and export. Such measures will help the SMEs and micro enterprises in the manufacturing fields to some extent and play a driving role.

 

Of course only by proper implementation can the good policy come into play. Therefore it is expected that the government can implement the workable plans and detailed rules to allow the related departments and enterprises to have the management and operation modes easily.

 

Source: Translated from Invest Guangzhou, March 7, 2017