Export Credit Insurance Has Become An Umbrella For Foreign Trade Enterprises.

"Our company has been with American buyers for 12 years.

Because Rong Heng Trade has spent more than 80 thousand yuan on the export credit insurance in the first 5 years, and obtained a compensation of about 600 thousand yuan from Zhejiang Xin Bao, thereby avoiding significant economic losses.

The experience of Rong Heng Trade is

The way to solve this problem is to take part in export credit insurance, and export credit insurance is just like an umbrella of foreign trade enterprises.

Last year, the government work report explicitly requested the expansion of export credit insurance coverage. In May 27th, the State Council executive meeting put forward 6 important policies and measures to stabilize external demand. The first one is to improve export credit insurance.

In Hangzhou, not only enterprises themselves need to "umbrella", but also the government is actively giving umbrellas.

As a result of the intervention of export credit insurance, the situation of "single dare not accept, single weak access" is slowly alleviating.

The last straw that overcame the camel.

A textile and garment company in Hangzhou met the dilemma of old customers' capsizing.

At first, the company did not trust the key customers, and did not include the 128 year old German department store giant Arcandor group in the export credit insurance coverage.

In June of last year, Arcandor group filed for bankruptcy, which brought great economic losses to the company, and almost dragged the company into a life and death dilemma.

For the Hangzhou export enterprises that have been running smoothly for many years, the reduction of external demand caused by the financial crisis has made them "exclaim". The risk of foreign exchange collection is even worse. Overseas market "rein" has become the last straw to overcome the camel.

The reporter learned from China's Zhejiang branch of the credit insurance company that in the first half of last year, China's Zhejiang branch had received 361 cases of reported losses, which reported a total loss of 68 million 550 thousand US dollars, up 81% and 101% respectively from the same period last year, and reported losses amounting to 2.97 times the premium income of the same period.

At the same time, some buyers continue to extend the payment term and increase the risk of pactions, causing many export enterprises to face the problem of "having orders but afraid to pick up".

"Because the buyer's credit rating is not known, it is no longer easy to receive foreign exchange, and customer relations become very dangerous. Orders mean greater risks and more losses.

So we must weigh the bill on the issue.

Mr. Ren Kong, an auto parts manufacturer in Hangzhou, said.

Li Qiangyu, deputy director of the Hangzhou Municipal Bureau of foreign trade and economic cooperation, pointed out that with the intervention of export credit insurance, the situation of "single dare not accept, single weak access" is slowly easing.

According to him, export credit insurance is a common means of trade promotion which is in line with WTO rules and internationally.

"Making good use of export credit insurance can help enterprises avoid foreign exchange risk, reduce economic losses, enhance credit level, provide financing convenience, enrich settlement methods and enhance comprehensive competitiveness.

At the same time, it also promotes the structural adjustment of foreign trade. "

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Export credit insurance is like an umbrella.

Last year, when a lot of enterprises were crying for pain, Hangzhou Keqi industry and Trade Co., Ltd. had obtained the K-MART of the large supermarket chain in the United States, the AFFES of the US government specializing in military procurement of goods, the TOYS R US of American toy stores and the order of WAL-MART, which increased the sales volume of US $about 10000000.

It is understood that the company is a foreign trade enterprise specializing in exporting bicycles, motorcycles and parts.

The reason why they can be favored by these "giant" purchasers, the assistant general manager of the company, is that they are closely related to participating in export credit insurance.

"The United States is a big one," she said.

How can enterprises use export credit insurance to avoid risks? Yang Yi, deputy general manager of China export credit insurance Zhejiang branch, said that exporters can make full use of the global credit investigation network of export credit insurance to fully understand the situation of foreign markets and foreign buyers, and, after obtaining the approval of export credit insurance, adopt attractive payment methods and credit terms for buyers.

In this way, export credit insurance can not only help enterprises win over competitors, open up new markets, but also increase profit margins.

"After an enterprise has insured export credit insurance, it can also raise funds for banks, write off and refund tax in advance."

Yang Yi expresses that the financing function under the credit insurance is also increasingly favored by the enterprise.

When the enterprise insure the credit insurance and pfer the compensation interest to the bank, the bank provides financing for the enterprise. When the loss occurs within the scope of insurance, China's credit insurance will help the enterprise to settle the claim.

Enterprises can be subsidized by export credit insurance.

Due to the lack of awareness of export credit insurance, how to control and guard against such risks when financial tsunami has swept over has become the first consideration for many export enterprises.

Statistics show that before July, Hangzhou's foreign trade enterprises rarely insured export credit insurance, and the insured rate was about 3%, which is far from the international export credit insurance's 15% export support rate to Hangzhou.

"The low rate of insurance is mainly due to the fact that some enterprises give up insurance on the risk of trade risk. Some enterprises prefer to abandon their orders in order to avoid risks, and many companies worry that the insurance will increase the cost of trade."

Insiders said this analysis.

In view of this situation, the Hangzhou Municipal Foreign Trade and Economic Cooperation Bureau and the Finance Bureau jointly issued a series of supporting policies to promote the development of Hangzhou's foreign trade, stipulate that the insurance export insurance should be subsidized by 40% of the actual premium paid to the enterprises (to export the credit insurance to the famous export enterprises above the municipal level and the "200 hundred" enterprises in the city, and to subsidize the export credit insurance according to the actual premium paid by 50%).

Supporting enterprises to insure import credit insurance, and subsidize insurance premiums for all kinds of enterprises for import credit insurance by 30%.

At the same time, the highest premium of a company's premium is not more than 1 million yuan per year.

After the special meeting on export credit insurance held in July last year, the Municipal Foreign Trade and Economic Cooperation Bureau increased the amount of insurance coverage by means of confidence, encouragement, promotion, promotion and policy promotion.

A data from the working group on export credit insurance of the city showed that as of December 11th last year, a total of 277 export enterprises had insured export credit insurance, with an insurance amount of US $4 billion 150 million, an increase of 140% over the same period last year, and completed the target task of 4 billion US dollars ahead of schedule.