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Shanghai Becomes Key Supply Center

Shanghai is gearing up to be a supply centre in Asia for multinational chain stores.

This was revealed at a seminar sponsored by the Carrefour Group to discuss the prospects of cooperation between the city and the stores.

"We have come here with the aim of expanding business with local businesses," said Christophe Roussel, managing director of Carrefour Global Sourcing Asia.

He said Carrefour buys more goods from China than anywhere else in the Asia-Pacific Rim. In fact, China accounts for 58 percent of Carrefour's purchase volume.

Shanghai is the third largest supply centre in China, after Hong Kong and Guangzhou.

Zhang Yiguang, general manager of Carrefour Sourcing Asia, Shanghai Office, said the city's White Cat Company and Shanghai Bright Dairy Products Company have become Carrefour's largest suppliers in China.

"The purchasing network will enable Shanghai's trade to boom," said Shi Chen, an official with Shanghai Municipal Foreign Economic Relation and Trade Commission (SMFERT).

Statistics show that the city had retail revenue of US$300 million through trade with multinational chain stores last year.

"Shanghai has already become a hot investment place for other multinational chain stores such as Metro, OTTO, Lotus and E-mart," said Zhu Xiaoming, director of SMFERT.

"We will strive for an even larger proportion in purchase volume in Asia by offering a better transportation network, faster customs clearance, higher supplying efficiency and more effective supply," said Zhu.

The city will strengthen its market information service, establish express channels and cultivate good local suppliers to attract more investment from multinational chain stores, according to Wu Chenlin, president of the Shanghai Foreign Investment Development Board.

(China Daily 02/12/2001)


In This Series

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