Commerce between China and the CEE countries within the „17+1”Initiative - functions as a digital virtual warehouse and logistic service.
E- trade and e-Commerce with China required the companies to have a registered office and customs registration in China. Also, it involved high spedition costs while E-commerce payments and settlement systems between China and the CEE countries are very complicated for small agri-food operators.
The E-commerce logistic hub and virtual wharehouse is used for keeping registered traders’ products on stock and offers these on a digital platform for the conclusion of specific transactions for trading in agricultural and other products. It serves as an E-commerce functionality and functions in Plovdiv (Bulgaria), Shenzhen, Shanghai, Ningbo and other cities in China, and towns in the CEE countries. Can be used online by any trader to connect his own on-line shop in order to offer his products and/or buy Chinese/CEE products. It also offers all kinds of spedition documentation, template commercial contracts, customs clearance and reduced transportation costs (1.5 EU/kg) for regularly delivered quantities.
Stakeholders: national Ministry of Agriculture, Food and Forestry; Association for the Promotion of Agricultural Cooperation between China and CEE Countries (part of the structure of above ministry); Agricultural University of Plovdiv.
50 mln. Eur for the entire multi-annual initiative for a free trade zone in Plovdiv + 1ha land for warehouse facilities + additional 1700 ha for further expansion of the logistic hub and pavillion.
Evidence of success
16 agri-food companies from Bulgaria are working on a regular basis with the platform and participated physically at the recent 2nd China International Import Expo in Shanhai, China.
Potential for learning or transfer
The platform is not limited for participaion only to the CEE countries which are part of the 17+1 Initiative. Therefore, any European company may register to use it and provide updated information about the available quantity on stock in the companies’ warehouses in their country of origin or virtually, and this information could be published on the online platform’s store self-owned by the respective company after registration. Consequently, the company may receive all E-commerce, foreign trade and logistics/customs support offered by the platform.