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    Egypt'S Political Turmoil &Nbsp; Enterprises Suspend Exports Of Goods

    2011/2/24 11:04:00 70

    Enterprise Export Market

    "Because of

    Egypt

    In the wake of the political turmoil, some Egyptian customers have asked for a delay in payment, and $about 200000 has not yet been recovered.

    Dehua ceramic export enterprise official said.

    The recent political instability in Egypt has spread to Quanzhou.

    Exit

    Enterprises, there are springs enterprises reflect, some Egyptian buyers have postponed the order, but the interviewed enterprises also said that the Egyptian market has great potential and will not give up easily.

    market


    Enterprises suspend exports of goods


    Egypt is one of Quanzhou's important export markets.

    According to statistics from Quanzhou entry-exit inspection and Quarantine Bureau, in 2010, Quanzhou exported 485 products to France, valued at US $12 million 610 thousand, and exported products including casual shoes, domestic ceramics, clothing, bags, machinery parts, resin handicrafts, etc.


    "At present, some Egyptian orders are not shipped. Considering the unstable political situation in Egypt, we plan to negotiate with our clients to suspend shipment."

    Guo Jianzhou, general manager of Wuzhou ceramics, said that Egypt is an emerging market that enterprises focus on in recent years. Last year, the number of customers in Egypt increased by more than 30% over the previous year. However, under the influence of the domestic situation, the order quantity of Egyptian buyers may decrease this year.


    Yang Qiulan, the foreign trade department of PEAK group, said that at present, Egypt's orders for enterprises will not be shipped until May, when the political situation in Egypt should be stable.


    Export credit insurance reduces risks


    In view of the current political turmoil in Egypt, how to avoid risks in the Quanzhou business with Egypt? Guo Jianzhou believes that when developing new markets such as Egypt and other African markets, enterprises should ask customers to pay 100% of the goods before they leave the port, so as to reduce the risk of corporate receivables.

    In addition, enterprises can also use the national export credit insurance to avoid trade risks.


    Professor Zeng Lu, vice president of the school of business administration, Huaqiao University, said that when a country's political situation is unstable, enterprises must not take orders lightly. We should be vigilant against the poor businessmen in this country and take advantage of the opportunity to make profits again after the political situation is stabilized.


    Demand for light industrial products in Egypt


    Quanzhou inspection and Quarantine Bureau responsible person said that Egypt is the second largest importer of Africa after South Africa. Every year, it imports large quantities of mechanical and electrical products, small sets of equipment, light industrial products (including footwear, household ceramics, household appliances and parts, paper, toys, bags, etc.) from overseas. For the light industry enterprises in Quanzhou, the potential of the Egyptian market can be excavated.


    "After the stable situation in Egypt, the local market demand will gradually recover, and the relevant export enterprises should contact the Egyptian customers ahead of time, advance the layout, understand the needs of the Egyptian market after the stabilization of the situation, adjust the product mix, and make preparations for undertaking orders."

    Lin, manager of a foreign trade company in Quanzhou, who has been in contact with Egyptian businessmen for many years, said that Egyptian businessmen like to see a sample deal. To open up the Egyptian market, enterprises can consider participating in the exhibition. It has been a good choice to have successfully held the more than 40 Cairo International Exposition.

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