In 2010, under the pressure of the decline of global trade, RMB appreciation and Dahua Group s insufficient production capacity for customers demand, the International Trade Co. Ltd. of the group cultivated growth by expanding its scope of operation, adjusting its business structure and making good use of capital, and thereby achieved a total import & export volume (IEV) of more than 200 million US dollars by the end of November.
In 2010, the company continued to develop in diverse fields. In addition to the business of chemicals, fertilizer and aquatic products, they started up new ones in the fields of petrochemicals, coal and salt. To meet the demand for salt a chemical production raw material, as a window for the import & export trade of Dahua Group, the company made contacts with India and other countries for procurement. On the one hand, they met the needs of the group for raw materials; on the other hand, they opened a new business area. To alleviate the pressure caused by RMB appreciation, they adjusted their business structure, increased imports and achieved an increase of 15% in import volume. To use the funds wisely, they set amounts for general expenses and business objectives early in the year, investigated the investment market and projected revenue. In addition, with the principle of low-risk, export first and a good profit , they took risk-control as priority while they were expanding operations. They tried to reduce risks through risk assessment, procedure control, ERP software and information security managementsystem ISMS , and, to avoid inaccurate data, time-delay or false declaration, got rid of the traditional way whereby they were informed of inventory through report forms presented by the agents. Through the combination of ISMS and the ERP management system including ERP in the agent factories, they conducted dynamic management of the factory warehouses and controlled the inventory in order to reduce risk and gain steady profits. Owing to strict management and appropriate measures, by the end of November, the total import volume of the company reached 109.76 million US dollars, an increase of 15%; the total export volume reached 90.70 million US dollars, an increase of 56%; therefore the total IEV has reached 200.46 million US dollars, an increase of 30%.
According to the person in charge of the company, next they will, based on raw material supply and product sales for Dahua Group, focus on supporting self-trade, opening new markets and seeking good partners to create more economic benefits for the group.
From: SASAC of Dalian Municipal Government
