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China's Footwear Industry Has A Solid Foothold In Russia Through Its Formal Operation.

2010/7/7 11:59:00 41

Footwear Industry

The footwear industry represented by Wenzhou shoe enterprises will set up a trading company in Russia, and will have a firm foothold in Russia through formal operation. In this regard, the industry said that in many ways of marketing, the most crucial and necessary way for Chinese shoe enterprises to go now is to set up trading companies in Russia, hire Russian marketers to open up markets, hire accountants and tax companies familiar with tax and taxation in Russia, and set up a special exhibition hall to take a formal road of operation.


Setting up a trading company is the way to go.


Wenzhou Leather Industry Association official told reporters, "the biggest difference between products exported to Russia and the European and American markets is that the European and American markets are relatively stable, while Russia's trade policies are more volatile. For example, Russia has imposed a "no entry" tariff on goods such as shoes, clothing and other commodities of "uncompetitive commodities", which has had a certain impact on Chinese shoe enterprises. Many Chinese shoe companies have pulled back their offices.


Zhou Haifan, a giant shoe office, said that the reason for exporting to the Russian market in the past was that the profit margin of the market was relatively large. "After a comprehensive trade-off, we finally decided to withdraw from the Russian market." How can Chinese shoes keep a firm foothold in the Russian market? Wenzhou leather industry association responsible person said that in many ways of marketing, the most critical and must go way is to set up trading companies in Russia.


Wenzhou Leather Industry Association official said, at present, Chinese shoe enterprises are fully capable of developing timely footwear products, such as shoe manufacturers exporting to the European Union and North American markets, and have been completed. But for export to Russia, it is not enough to rely solely on the product development capability of shoe companies, but also depends on the customs clearance speed of the Russian customs. "If customs clearance takes two or three months or even longer, even if you develop timely shoes, you will not be able to get to the end customers in Russia." Such a phenomenon has happened in the past.


In terms of sales methods, some analysts believe that conditional manufacturers should take part in exhibitions in Russia, take the initiative to acquire special counters in larger scale stores in Russia and transform sales channels to large supermarkets in Russia so as to enhance the brand influence of Chinese shoes. "This will require more cost for enterprises to invest, the key is to see the strength of each shoe enterprise." Wenzhou leather industry association responsible person said.


Shoe companies will increase exports to Russia


Statistics released by Jones Lang LaSalle yesterday showed that Shanghai's export market has recovered to the level before the international financial crisis. The volume of port throughput in January to April increased by 3.4% compared with the same period in 2008. "This also makes the difference between Waigaoqiao and port storage market more obvious." Hu Ye, media leader of Jones Lang LaSalle, said that due to Waigaoqiao's main service in Southeast Asian countries, the warehousing market of Waigaoqiao was also strong, and Yangshan deep water port as a container hub for European and American routes, the market performance was still poor.


Hu Ye told reporters that in the recovery of the market, the export growth to ASEAN countries was more obvious. The export value increased by 59% compared with 2008, while the export value to the EU, the US and Japan was still lower than that of 2008. According to the information they have grasped, many Chinese shoe enterprises will increase exports to ASEAN and Russia, in order to avoid the EU's loss of anti-dumping duties on Chinese leather shoes, according to the information of the Wenzhou Leather Industry Association.
 

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