"Cautiously Facing The Russian Leather Market" -- Ministry Of Commerce

Russia's leather market breeds unlimited business opportunities, but there are many hidden dangers. Chinese businessmen struggling in Russia must be careful.

From the "gray customs clearance", we can see that behind the Russian leather market is an undercurrent.

Experts believe that the "charter tax" is durable because many people have tasted sweetness, which is why we call this way of customs clearance "grey customs clearance".

Due to the relatively low price of imported commodities through the "grey customs clearance" approach, the direct result of closing this route will result in a rise in the prices of Russian daily goods, which will directly affect the normal life of the ordinary people. "Gray customs clearance" and "charter tax" have formed an intricate chain of interest groups in the long run, which is very influential in Russia.

The governments of China and Russia are very concerned about the long-standing "irregular trade" between the two countries and have been looking for solutions.

In fact, the Russian government is very clear about the shortcomings of the "grey customs clearance", but at the same time, it can not get rid of the decision to ban it completely.

The reasons are very complicated and involve a lot of factors: many Russians are directly or indirectly involved in the informal trade. Suddenly, closing the channel will lead to many people losing their jobs. Because the prices of imported commodities are relatively low through the "grey customs clearance" approach, the direct result of closing this route leads to the rise of Russian daily goods prices, which will directly affect the normal life of the ordinary people. "Gray customs clearance" and "charter tax" have formed a chain of interest groups in the long run, which is very influential in Russia.

Closing the "grey customs clearance" means breaking their financial resources, so they will use all their resources to delay the demise of irregular trade.

Besides, ignorance of the Russian market will also be fatal to businessmen. Russian consumers have different interests in local leather and imported high-end goods. One of the reasons is that local dress tastes are different from those of others. For example, when dyeing short wool mink in other parts of Europe, Russian women are fond of Cape fur raccoon leather or fox leather.

Therefore, suppliers can not blindly design and produce leather products exported to Russia based on the trend of European and American fashion.

Italy's leather goods occupy high-end market in Russia. Italy shoes have an advantage in brand, quality and design style, but the price is higher. They are mainly distributed in the shopping malls of major central cities in Russia to meet the higher Russian consumer groups. Chinese shoes are mostly cheap, but they are strong in market reaction, mainly in wholesale markets, stalls and other places, so as to meet the needs of most low-income Russian consumers.

In the future trade, Chinese brands must pay attention to the increase of their added value, otherwise, they will go back to the Korean leather industry sooner or later.

Besides, the bureaucracy of the Russian government and the existence of the underworld forces are the problems that Chinese businessmen have to consider.

Therefore, the following advice was given to those who came in and out of the Russian market:

First, do not blindly enter the Russian leather market.

It is necessary to do research in advance, including the basic national conditions, security situation, relevant laws and regulations, and information related to the purpose of going abroad.

Any fluke can lead to unsafe problems.

Two, going abroad should take a formal way to complete the legal procedures and avoid giving any excuse to extortion of certain law enforcement officials in Russia.

For example, it is necessary to obtain invitation letters through legal means. The purpose of applying for a visa abroad is consistent with the purpose of going abroad in the invitation letter. In three days after entry, registration is in order.

Three, we must abide by the laws of the host country.

Not long ago, Liu Guchang, Ambassador to Russia, stressed at the forum of overseas Chinese in Russia that discipline and law-abiding are the basic prerequisites for overseas Chinese to have a foothold in foreign countries.

Only by strictly observing the regulations and acting in accordance with the law can we get the acceptance of the community in the country and create conditions for long-term survival and development.

This applies to all Chinese citizens in Russia.

Practice has proved that consular protection measures will be difficult to carry out effectively due to illegal incidents.

Four, we hope that when we plan our business strategy, we will have to stand taller and look far ahead. We should be good at capturing business opportunities and taking account of the policy environment in our country.

The Russian government's determination to crack down on "grey customs clearance" and rectify market order has been put into action.

It is imperative for Chinese businessmen and enterprises to regulate their business and pform their trade patterns.

Five, be brave and self protective.

Although the overall environment of Russia is still unsatisfactory and social security is not fully protected, law enforcement officers often know the law breaking the law, but the operation of their judicial organs is still normal, including the internal discipline inspection agencies targeted at the police.

It is necessary to understand and master the facilities, such as alarm, rescue, complaint and other facilities in the country, and make use of them if necessary.

We should deal with things calmly and strive to record all the favorable evidence and information, so as to prepare for the proper handling of the incident.