Yiwu strengthens commodity trade

The city of Yiwu in Zhejiang province is known as the world's trading center for small commodities - a bewildering array of goods ranging from souvenirs to cigarette lighters to toys.

Though already successful, its trading environment is undergoing a transformation that includes enhanced intellectual property protection.

Yiwu Customs has begun a campaign to provide businesses with greater knowledge of intellectual property protection while stepping up enforcement and seizing more infringing goods.

Rightful owners that registered their brands with customs are already benefiting from the new measure.

"Earlier this year I registered, then one day customs called me saying they seized batteries with my brand on them," said businessman Zhang Qiaoyu. "I went there and found they are not mine."

Exports of his batteries to South Africa have since recovered to their peak level, he said.

Shao Hongbin, deputy chief of Yiwu Customs, said the office will find more ways to help Yiwu businesspeople protect intellectual property, which will also make their small commodities "better recognized on the global market".

Reforms on the way

Customs is only one of the ongoing reforms in the city. Last year Yiwu city government began a new project to build the city as a model for reforming international trade, a base for industry transformation and a world-leading international trade center.

Despite the global economic downturn, sales of small commodities made and traded in the city grew 11.51 percent in the third quarter to $1.74 billion.

In addition to its growing trade, Yiwu is expected to change from commodities into a provider of services. The industrial and commercial bureau of Zhejiang release policies in 2011 with the goal of broadening financing channels.

"By registering with the industrial and commercial bureau, enterprises will be allowed to turn their intangible assets such as equity and trademarks into floating capital. The pressure in technology, personnel and marketing will be eased," said an official at the bureau.

A monitoring system that combines government departments, guilds, intermediaries and companies, will be set up along with a state-level quality inspection center for small commodities to improve the protection of intellectual property in Yiwu, according to the plan.

It also calls for improved logistics, financial services and administration in Yiwu.

The Yiwu commodity market covers more than 4 million square meters has 62,000 booths, more than 1.7 million items in sale and business people from 215 countries and regions. Just a three-minute stop at each booth in every working day would take 18 months to see every outlet at the market.

Yiwu has about 12,000 purchasers who live abroad - a number that cannot be matched even by the top cities in China - who are the main drivers of Yiwu's large export volume.

"But that alone couldn't make Yiwu realize the goal of becoming a global trade center that buys globally, and sells globally," said an insider.

The China Yiwu International Commodities Fair started 18 years ago has had an exhibition area for foreign goods since 2008, with more than sellers from 30 countries and regions attending in 2011.

"Small and medium-sized companies all around the world need such a good platform as the one in Yiwu," said a business representative from South Korea at the 2011 fair,

"The fair will be the best platform for products to take the global market with the shortest pass and lowest cost."

chengguangjin@chinadaily.com.cn