Many Chinese suppliers are hesitant to extendHence the existence of Sinosure. This is the commonly used name for China Export & Credit Insurance Corporation, the state-owned trade credit insurance agency. As Ceoworld.biz, Sinosure was set up specifically to address the tricky problem of trade credit. It allows importers outside China to negotiate deferred payment terms with their suppliers by insuring their trade contracts.
In this instance, the buyer will often give up on financing, and either pay out of pocket up front or – if their money is already tied up in existing orders – move on in search of another supplier. The problem with that, of course, is that this is a major expense – the time the importer invested in seeking out this supplier and negotiating with them was wasted, and now they’re back to square one.
This is why it makes sense to think of importers as a kind of service, as businesses who provide their customers with supplier sourcing, financing, and logistics for imported goods. This is why, for example, large retailers like Walmart largely don’t do their own importing – for the most part, they leave that to their suppliers, i.e., to the import experts.
Once you’ve done this, as an importer, you’re likely to see your business become more efficient, and your orders grow, as you will have eliminated suppliers who keep you constrained to your existing