Jinjiang shoe companies talk about business orders do not worry exchange rate

On the afternoon of the 19th, the European and American purchasing delegation and the Jinjiang Enterprise Fair were successfully held. More than 30 buyers from Europe, America and Southeast Asia had face-to-face negotiations with 160 suppliers of shoes and apparel. According to Cai Huibin, head of the Service Development Department of Jinjiang, the representative office of the China International Electronic Commerce Center in Fujian Province, after the matchmaking meeting that day, many companies have received the proofing requirements of buyers. On the same day, more than 30 purchasers at the Matchmaking Conference expressed their intention to clarify that the procurement of products involves casual shoes, sports shoes, functional shoes and many other categories, and is highly characteristic of Jinjiang. According to incomplete statistics, as of yesterday, there have been more than 20 buyers who have an intention of cooperation. Currently, they are entering the on-site understanding of the docking companies one after another, and they have in-depth negotiation stages with a strong intention of cooperation.


Outdoor shoes casual shoes most favored


Jinjiang Taijia Shoes Trading Co., Ltd. is the second time to participate in the matchmaking fair for foreign merchants and Jinjiang enterprises held by the Jinjiang Municipal Government. On the same day, Wu Jiaofeng, the business manager of Taijia Company, who came to the talks, told reporters that the shoes that the company offered to display were the most popular among merchants. "At present, there have been US, British and French businessmen expressing their interest in cooperation with several of my casual shoes series. There will be more in-depth negotiations next." Wu Jiaofeng said in an interview with reporters. In addition, he is interested in cooperation. There are also German businessmen, but German merchants seem to be more interested in sports safety shoe types.


In this regard, the same day to participate in negotiations Hualong Sports Products Co., Ltd. Deputy Chief Xu Shulong also said that in recent years, outdoor casual shoes style seems to be more like the merchants. Which includes

Hiking shoes, rock climbing shoes and other special styles are the most popular among European and American customers. On that day, negotiating with several American merchants, basically there were proofing requirements. "In fact, casual shoes are the strength of Jinjiang footwear industry, but these special shoes such as the climbing shoes and climbing shoes just mentioned are all special styles. Although the profit margin will be slightly larger, the amount of production is not particularly large, and The process is also more demanding, so many manufacturers may not dare to answer it.” Xu Shulong told reporters, however, Hualong has many years of production experience in this area, product quality and delivery time are not problems.


In addition, Mr. Mao Haisi, a British merchant who is engaged in the sales of school uniforms and ancillary products, also expressed his preference for the casual footwear industry in Jinjiang. Mao Haisi said that he had heard about the production capacity of casual shoes and apparel industry in Jinjiang, and he had a great harvest for participating in the fair. He had already had several companies in Jinjiang producing casual shoes and apparel that he was interested in. These enterprises' casual shoes Both quality and design of clothing samples are good. Next, they will communicate with these companies in depth and hope to have further cooperation.


Buyers from Mexico said that they placed their first purchase in China in Jinjiang and told reporters that they had heard about the active footwear industry in Jinjiang. This time, they came to join the fair to find some functionality. movement

Shoes companies cooperate. “The most important thing is that the quality of the products should be high-end. Through jointing, I discovered that Jinjiang was well-deserved reputation and I am very satisfied with several companies.”

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Exchange rate and price are the key
The reporter learned that many of the suppliers participating in the meeting all said that they had achieved a lot and were happy, but they also had their own concerns.


On that day, He Wenhui, the general manager of Quanxing Plastics & Plastics Co., Ltd., just put the sample on the desktop and obtained the proofing requirements of the buyer. While rejoicing, He Wenhui also considered various risk issues and prepared for the next in-depth exchanges.


“Now the foreign trade market is still not stable, but this month, my order is still good, has been discharged until June. However, due to the stability of workers, this year the company has updated its equipment and increased its production efficiency. Now it seems that orders It is still not saturated enough.” He Wenhui said in an interview with reporters. “We have been busy until midday and have to work overtime. After attending this fair, orders will surely increase, and several merchants have indicated that they intend to cooperate. But we must also consider the exchange rate issue. The current economic situation is that foreign trade is really not as easy as it used to be in previous years, and the risks are relatively large. If you can use the RMB settlement method, you will be fine." He Wenhui told reporters that he can only find a suitable way now. The Hong Kong intermediary company cooperates so that it is possible to use the RMB settlement method.


In this regard, Wu Jiaofeng also expressed his worries. However, it is now only possible to lock in the exchange rate and reduce the risk based on his own forecast. "For example, the current exchange rate between the U.S. dollar and the Chinese yuan is about 1:6.4. Then, if the company is expected to have an exchange rate of 1:6.3 at the time of delivery, it will negotiate and sign the contract at the then exchange rate. This is also a kind of The method of controlling risk,” Wu Jiaofeng told reporters, but there was obviously a price issue in the negotiations with American merchants. Although the quotation has been higher than last year, it is still difficult to hedge against this year’s cost increase. US merchants are The price increase is somewhat unacceptable. "Probably a price difference of about 1 US dollar, the price fluctuations are indeed quite large, there is no way." Wu Jiaofeng said that fortunately, the British, French and German businessmen have room for their own shoes and the price of negotiations, Wu Jiafeng is confident in the further negotiation.


In contrast, Xu Shulong showed a calm attitude toward exchange rate risks. Xu Shulong said that despite the pressure of labor costs, rising raw material costs, and exchange rate fluctuations, many companies are trying to guard against risks by choosing price increases, receiving short orders, and shortening delivery dates. Xu Shulong believes that as long as enterprises use the various supporting policies of the government, on the basis of tax rebates, there are still breakthroughs in solving the problems of enterprises. Moreover, during the negotiation process, there is also a time limit for exchange rate locking. Companies should learn to use this time to control their own risks. On the issue of bargaining power, Xu Shulong also feels that the current price increase for foreign merchants is an overall situation. Since foreign merchants have established purchasing targets, the price increase of 1 to 2 yuan does not change their purchasing behavior. “The price increase is a national issue. It is not a single company that raises the price. The cost is something that everybody must fight for. No company is willing to do a loss-making business and take a losing order. Therefore, it is not too tangled.” Xu Shulong told reporters Frankly.


In an interview with reporters, British merchant Mao Haisi said: “We understand China's current market situation very well. We also understand the rise in raw materials and labor costs. The price will not be the only factor in our consideration of procurement.” The “price war” intensified in the market and the first time Mao Jinsi who attended the “Shoe Fair” and the matchmaking conference in Jinjiang told reporters that he would not blindly pursue cheaper prices, and he valued the product’s cost-effectiveness. Through this negotiation, we can find the right supplier.

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