Ru­ral knit­ters sew up on­line deals

China Daily (USA) - - BUSINESS - By ZHU WENQIAN

Warp knit­ting has been a dis­tin­guished busi­ness sec­tor in Huzhou, Zhe­jiang province, in east­ern China, with hun­dreds of man­u­fac­tur­ers con­cen­trated in the area.

Fierce com­pe­ti­tion has led many en­ter­prises to fo­cus on over­seas mar­kets. They mainly sell through e-com­merce chan­nels.

Nearly a hun­dred lo­cal com­pa­nies based in small towns and ru­ral ar­eas in Huzhou es­tab­lished their own web­sites and sell on­line, ac­cord­ing to the lo­cal in­dus­trial and com­mer­cial bureau.

Those spe­cial­iz­ing in warp knit­ting hired English ma­jor grad­u­ates to help them deal with over­seas busi­ness. Such grad­u­ates dou­ble up as trans­la­tors when for­eign del­e­ga­tions visit the com­pa­nies. The lo­cal govern­ment has also or­ga­nized some train­ing cour­ses in on­line sales for knit­ting en­ter­prises.

Gaorui Knit­ters is one of the first mos­quito net mak­ers that launched its store on Tmall, an on­line mar­ket­place of Alibaba Group Hold­ing Ltd, the largest e-com­merce player in­China.

Song Gan­jin, gen­eral man­ager of Gaorui Knit­ters, said: “Cur­rently, more than 90 per­cent of our prod­ucts are sold over­seas, es­pe­cially in African coun­tries. We see our sales in­creas­ing by 20 to 30 per­cent an­nu­ally.”

Shuan­glu Knit­ters, an­other mos­quito net knit­ter, has seen cu­mu­la­tive sales rev­enue of more than 30 mil­lion yuan ($4.5 mil­lion) through e-com­merce.

The busi­nesses driven by ru­ral e-com­merce and cross-border e-com­merce will be the main trends in fu­ture...”

an aca­demic at the Chi­nese Acad­emy of En­gi­neer­ing

Li Jing­wen,

cu­mu­la­tive sales rev­enue earned by Shuan­glu Knit­ters through e-com­merce chan­nels

Brisk on­line sales of mos­quito nets have in­spired other busi­nesses in the area, with wood and corn sell­ers now eye­ing e-com­merce.

Li Jing­wen, an aca­demic at the Chi­nese Acad­emy of En­gi­neer­ing, said: “China’s e-com­merce mar­ket has grad­u­ally en­tered a ma­ture pe­riod. On­line shop­per num­bers are still grow­ing, but at a slower rate.

“The busi­nesses driven by ru­ral e-com­merce and cross­bor­der e-com­merce will be the main trends in fu­ture. E-com­merce giants have been ex­pand­ing their busi­nesses in ru­ral e-com­merce, and help­ing those lo­cal agri­cul­tural and in­dus­trial prod­ucts to be sold around the world.”

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