Foreign and Military Affairs
Coastal Zhejiang holds key to Turkish market
By Wang Ying (China Daily)
Updated: 2010-10-09 11:08
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SHANGHAI - The key to burgeoning trade between China and Turkey can be found in the coastal province of Zhejiang.
The province, acclaimed for manufacturing disposable products, has exactly what Turkey craves, said Zhou Dewen, head of the Wenzhou Small and Medium-sized Enterprises Development Association.
The comparatively low prices and high quality of Zhejiang's light industrial products are winning many orders from emerging markets, including Turkey, Zhou explained.
"Orders for glasses, clothes, shoes, hats and lighters go to Zhejiang," Zhou said.
"Middle-income people from (emerging-market countries) have found our products are affordable and of good quality. They just love them."
Zhejiang-based Yiwu Wenyuan Stationery Co Ltd, for instance, is sending five shipping containers of orders a month to Turkey, which illustrates the country's growing importance to its export business.
Over the past two years, markets in Eastern Europe and Turkey have overtaken those in the Middle East and India to become Yiwu Wenyuan Stationery's second-largest export destination.
Indian purchasers keep wanting lower prices while the Middle East's business environment is unstable, said Zhang Qingping, the company's European division head.
"Consequently, Turkey has become our new important export destination."
Yiwu Wenyuan Stationery's shift into the Turkish market is typical among Chinese manufacturers.
Sino-Turkish bilateral trade increased from $1 billion in 2000 to $12.5 billion in 2008, China's Ministry of Commerce said.
Wenyuan Stationery started exporting seven years ago. Since then, its exports to Turkey increased from 10 percent of its export business to 25 percent.
"We love the Turkish market because the profit margin there is good," Zhang said.
She explained that Western Europeans are still the company's main customer base, but the manufacturer will pay close attention to new clients, such as Turkey, to diversify its export destinations.
"This is also a tool to hedge risks," Zhang said.
"Since orders from the United States and Western Europe withered, and orders from India and the Middle East became unstable, we are finding the Turkish market to be more important than ever."
Jia Chengming, manager of the export department of Zhejiang Xinhong Zipper Co Ltd, told China Daily his company has also benefited from increased exports to Turkey.
"Since we started exporting in 2000, our orders from Turkey have continued to increase," Jia said.
"Ten years ago, we exported only two or three shipping containers of goods to Turkey a year. But now, it's at least two containers a month, and the number can reach five during peak seasons."
Xinhong Zipper manufactures zippers for bags and suitcases.
"Many of our Turkish clients travel to Zhejiang two or three times a year," Jia said.
"The reason they purchase from (Zhejiang) is that prices are low and the quality is high."
