Footwear Exports In Wenling Face New Stumbling Blocks

In addition to the new Egyptian regulations

A few days ago, Saudi Arabia also had a new move to implement the new SASO inspection rules for imported shoes, that is, Saudi Arabia customs imposed compulsory testing on entry footwear products, and those who were unqualified would not be allowed to enter or even return products.

It is understood that in the first quarter of this year, the footwear exported to Saudi Arabia in Wenling fell by 26.9%, with an export volume of 13 million 296 thousand yuan, of which the export volume in March was only 417 thousand yuan, a decrease of 93.7%.

New regulations allow enterprises

Become "cautious"

From the national statistical data, China exported Saudi Arabia in 2014.

Products of $508 million, an increase of 24.6% over the same period.

As far as Wenling is concerned, exports of shoes in 2014 amounted to US $1 billion 127 million, of which Saudi Arabia's market was about US $40 million, accounting for 3.55% of the total export market of Wenling shoes, accounting for 7.87% of the total exports of Saudi Arabia. Saudi Arabia is one of the important markets for the export of Wenling's shoes.

"Saudi Arabia's new regulation has been implemented since the end of January this year, and it has been almost 3 months.

Wenling's export footwear companies in Saudi Arabia have become "cautious" because of this new regulation.

The relevant staff of the Taizhou entry exit inspection and Quarantine Bureau in Wenling said that Wenling exported 153 Saudi Arabia footwear manufacturers.

"After the introduction of the new regulations, we visited 22 production shoe enterprises and 2 foreign trade companies with relatively large export volume, of which only 5 companies maintained normal export Saudi Arabia trade, 5 enterprises explicitly said they would no longer take orders from Saudi Arabia, 7 enterprises did not understand the new policy, 5 enterprises knew the new rules, but they still looked forward to development after wait-and-see."

Customs data also showed that in the first quarter, there were only 9 enterprises involved in the export of Saudi Arabia to Wenling, including manufacturing enterprises and import and export enterprises, of which only 2 enterprises and Saudi Arabia had business dealings in March.

The new rules are close to the European Union.

Each container will be selected for spot checks.

The reason for this is mainly because the new rules in Saudi Arabia are not only high standard but also very harsh.

"I heard that the new reference is the international standard, which is close to the EU standard.

But Wenling shoes export Saudi Arabia is dominated by low price and low grade. If this standard comes down, we have to give up, or we must raise the grade of products to satisfy the testing conditions.

In this way, our production costs will have to be improved. "

"Recently, we dare not take too many lists. On the one hand, we are communicating with customers. On the other hand, we want to wait and see again," said the head of a shoe manufacturer in Wenling.

So during this period, the export volume of Saudi Arabia has indeed dropped a lot, almost half of it. "

In addition to the strict standards that may lead to a decline in the profit of the enterprise products, the customs clearance time of the export enterprises will also be extended, which may lead to higher customs clearance costs.

"Before the entry of Saudi Arabia's footwear products need to be cleared every day, now every batch of goods must be sampled and sent to the laboratory for testing. After the test results come out, we can determine whether the goods are released.

However, the inspection period is long, and the average cargo per day is 40 days before the customs clearance is completed.

Taizhou entry-exit inspection and Quarantine Bureau in Wenling relevant staff said.

At the same time, Saudi officials have increased the cost of customs clearance and pferred the inspection fees to exporters virtually. The time and cost of customs clearance will also be pferred to Wenling shoe companies.

More importantly, the grade of Wenling exported Saudi shoes is not very high. The on-site management and technological level of most shoe manufacturers can not guarantee the quality of each pair of shoes. But the Saudi customs has to randomly detect 1 pairs of shoes for each container.

All these will bring great pressure to the export of shoes enterprises in Wenling.

Studying new standards carefully

Upgrading from low end to middle end

The staff reminded footwear companies that the use of high threshold product standards to protect their industries is a common measure taken by many countries in recent years.

Enterprises should carefully study new standards such as Saudi Arabia and other emerging markets, and actively respond to effective control of costs, improve quality and technology standards, and move from low end to middle end pformation and upgrading.

For different varieties of different testing requirements, enterprises need to be mastered before receiving orders or production, so as to prevent the risk of returning.

He suggested that enterprises should make proof before bulk production. They can make use of the footwear Laboratory of Wenling Office of Taizhou inspection and Quarantine Bureau. The samples will be strictly tested according to the new regulations of SASO, and the unqualified ones can be improved in advance so as not to cause losses of large quantities of unqualified footwear returns.