China ranks 6th among Moldova's trading partners: How can Moldovan entrepreneurs be promoted on the Chinese market?
The promotion of Moldovan products on the Chinese market depends on the cultural background. Increased visibility on local social networks and Moldovan entrepreneur’s success stories, active on the Chinese market contribute to the demand and consumption increase. This is the conclusion of the 7th session, entitled "Compass to Asia and the Pacific", held online on June 25, within the "Export morning" program, organized by the Investment Agency.
Within Covid-19 pandemic framework, the program launched last year continues online and aims to provide Moldovan entrepreneurs with complex informational and practical support to access foreign markets. The China export session brought together the pre-pandemic bilateral trade experience, current situation and future exports vision to this market, from the standpoint of local companies representing the top export sectors.
Rodica Verbeniuc, General Director, Investment Agency: “China is Moldova's 20th export partner since 2019 and 3rd stable import partner. At the same time, the Chinese market was the 5th largest export market for Moldovan wine in 2018, doubling its volume in the last 5 years. In 2019, at the instance of the Agency, the Moldovan-Chinese Forum was organized. The forum was attended by top 12 China’s investors, and the B2B bilateral sessions demonstrated that there is a potential to be exploited. The Investment Agency is fully open to support business in their promotion efforts by participating in sessions to present the country's investment and export potential in China, supporting local entrepreneurs to promote their products on the trading houses platform in Xi An and Tianjn, strengthening relations between Moldova and China. "
Free trade negotiations In 2019
Republic of Moldova’s exported goods on the Chinese market worth a total of 17.4 million US dollars. Thus, ranking 6th among the main trading partners of our country worldwide, with a share of 7.1% of total trade volume.
E. S. Zhang Yinghong, Extraordinary and Plenipotentiary Ambassador of the People's Republic of China to the Republic of Moldova: “With a population of about 1.4 billion people, China's has the highest consumption potential in the world. China is an important trading partner of the Republic of Moldova and we are open to strengthening trade relations between China and Moldova. After the pandemic, we promote the openness to the outside world, stabilize the supply chain and economic development, and imports will be actively expanded to develop a high-level market.”
Moldova and China are currently negotiating the signing of a Free Trade Agreement, which will expand exports and imports to the Moldovan and Chinese markets, as well as intensify economic and trade cooperation between these states.
Iuliana Dragalin, State Secretary of the Economy and Infrastructure Ministry of the Republic of Moldova: “Over the years, the Moldovan-Chinese trade-economic relations have experienced a dynamic ascent period. The Free Trade Agreement negotiations between the Republic of Moldova and China have already gone through three stages, during which we agreed on 70% of the legal framework. "
Wines, culture and influencers
The food export potential to China is higher, as it is the second largest importer in the world after the USA. Moldovan products account for about 80% of our country's total exports to the Chinese market. The most popular Moldovan goods exported to China are: wines, beer, chairs, prefabricated buildings, ethyl alcohol, heating boilers and mineral waters.
Gheorghe Arpentin, Director of the National Office of Vine and Wine: “Over five years, the average increase in wine exports to the Chinese market is 35%. China is the second largest market by value, and the fourth largest by volume of wine traded. In the first five months of this year there is a decrease of 35% according to the value of wine and 19% according to the volume exported, compared to the same period of the last year. We do not know how the situation will evolve, because there are many uncertainties and the distribution channels have undergone great changes. "
One of the problems facing Moldovan exporters in the Chinese market is the lack of comprehensive information for consumers about our country and culture. One way to reach the Chinese public faster are social networks - WeChat and Weibo, influencers and participation in exhibitions.
Radu Plămădeală, Administrator of the Chinese Center in Chisinau: “As a philosophy development strategy of the Center, we emphasize to bring as many Chinese in the Republic of Moldova to see the wineries, to discover their specificities, to know our gastronomy. Later, the Chinese consumer who visited our country will look for Moldovan wine at home. The Chinese are also culture consumers, and if we manage to achieve the goal and offer them in addition to Moldovan products a little bit of our culture, aiming to raise exports level. "
The current edition was preceded by sessions focused on export potential from Romania, Poland, Bulgaria, Germany, Italy, Czech Republic. The next session will focus on export opportunities in the Russian Federation.